About China State Farm
The state farm system is the core and model of China's state-owned agricultural economy, as well as the main force in promoting modernization of Chinese characteristics agriculture. The state farm system was established under certain conditions to undertake national missions. Over decades of hard exploration, it has formed an agricultural- economic system with Chinese characteristics, that is, high degree of organization, large scale of production and a sound industrial system. It has developed the main force of comprehensively promoting rural revitalization andaccelerating the construction of a strong agricultural country, with 35 reclamation areas, 1787 state-owned farms, 14.12 million population and 7.07 million hectares of farmland. Up to 2022, enterprises of the state farm system has total assets of RMB 1.6 trillion yuan, grain yield of 38.49 million tons (accounts for 5.6% of the national total), and GDP of 956.85 billion yuan.
The cause of China State Farm led by the Communist Party of China is originated in Anti-Japanese War. In the winter of 1939, under Chairman Mao Zedong's call for "ample food and clothing by working with our own hands", the Shaanxi-Gansu-Ningxia border area began a mass production campaign among the army and the people, establishing the first farm, Guanghua Farm, in the Anti-Japanese Base Area. Under the guideline of "agriculture first, industry and transportation second, business third", General Wang Zhen led Division 120 NRA and Brigade 359 NRA to construct and develop Nanniwan. In 1947, the Three Northeast Provinces established a batch of state farms. In 1948, the People's Government of North China built the first mechanized farm, Jiheng Farm, in the thousand-hectare puddle located in the border area of Jixian, Hengshui and Yongnian in Hebei Province. In 1949, a batch of farms was established, including merit farms for the honored soldiers, and liberation farms for the Kuomintang's soldiers.
Since the People's Republic of China was founded, under the leadership of predecessors of proletarian revolution represented by Chairman Mao, the pioneers consisted of demobilized soldiers, intellectuals and border-supporting youths went to the frontier and wilderness to reclaim wasteland and build state farms. The development of China State Farm is broadly divided into five stages:
Stage I: tough beginning in early years of New China (1949-1966). In the early years of New China, in order to resume the production rapidly and place numbers of soldiers properly, People's Revolutionary Military Committee of the Central Government decided to organize troops to support the nation's agricultural production. Since then, the cause of China State Farm developed fast on a large scale. In 1951, the State Council published Decision on Expansion of Rubber Trees Planting, started to open up wasteland for rubber farms in South China. In 1956, the Central Committee of CPC decided to found Ministry of State Farm, which was in charge of the unified management of the nation's army farms and the locally-operated state farms. Since 1958, under the arrangement of the Central Committee, the pioneers consisted of demobilized soldiers, intellectuals and border-supporting youths went to the frontier and wilderness to reclaim wasteland and build state farms. Till 1966, China had established 1940 farms, with 2.84 million workers, 3.19 million hectares of crop land, 0.17 million hectares of rubber land, 4050 million kilograms of annual grain output, and 23 kilotons of dry glue.
Stage II: suffering setbacks in the "Cultural Revolution" (1967-1976). In this period, Ministry of State Farm and its provincial agencies were abolished, together with the delegation of state farms to local governments. Because of the former administration system being damaged, the state farm system suffered continued loss, which was totally RMB 3200 million in a decade.
Stage III: developing steadily in Reform and Opening Up (1977-2001). Since the Eleventh CPC Central Committee, the state farm system has made a series of major reforms. In 1978, under the State Council's decision of developing agro-industrial-commercial combines in state farm system, breaking through the former pattern of farms operating agriculture only. Since 1983, the state farm system had established worker's family-owned farms in the large farms, which had solved "common big rice pot" among the employees. Driven by market economy during this time, the state farm system has gradually developed modernized enterprise institution, kept opening to the world, and improved social security system of the employees.
Stage IV: developing fast in all aspects (2002-2014). The state farm system has made efforts to its development: making reform in collectivization, enterprization and share-holding, improving management regimes and operation mechanism, to stimulate the internal vitality; depriving social functions, establishing social security provisions, optimizing land management and releasing debt, to improve the circumstance for better development; carrying out the "Going Out" Strategy in agriculture. With all these efforts, the management regimes and operation mechanism of state farms has adapted to the market economy much better, and a batch of competitive modern agricultural enterprises (groups) has been built. The state farm system has achieved remarkable economic results in this period. Since achieving profitability in 2002, its benefit growth rate has reached over 10% for 13 consecutive years.
Stage V: the reform of state farm system in new era (2015 till now). On November 27th, 2015, the Central Committee of CPC and the State Council has published Guidance on Further Promoting Reform in State Farm System. Markedly, the reform in state farm system has developed in new era. As the document claims, the state farm system undertakes a more important mission in new era, that is, guaranteeing food security and important food supply of the nation, establishing demonstration area of modernized Chinese characteristics agriculture, developing agricultural international cooperation, and defending the frontier. Putting the Guidance into action, all the state farms accomplished state-owned land right registration and certification in around three years. Nowadays, collectivization in reclamation areas and enterprization in farms are advanced steadily, with modernized big base, large enterprise and grand industry in agriculture being built. Moreover, since the modernized enterprises (groups) from state farm system are more competitive in the world, its place of model in agricultural field has gradually been shaped.