The Harvest: This Week in Rural China — Dispatch No. 2 (19 December 2024)
Sustainability, Innovation, and the Challenges Ahead for Rural China
Welcome to this week’s edition of The Harvest, the free weekly dispatch from This Week in Rural China. This edition focuses on the intersection of agricultural innovation, sustainability, and economic development, examining the latest strategies driving China’s rural revitalisation.
The Harvest continues its mission to provide an in-depth analysis of the forces driving rural China’s development. We value your thoughts and encourage you to share feedback through the comments section, our chat feature, or by emailing nathan@thisweekinruralchina.com.
We hope you find this week’s dispatch insightful as we continue to explore the evolving story of rural China’s future.
A Week After the Central Economic Work Conference – What the Priorities Mean for Rural China
This past week has been pivotal in shaping the trajectory of rural China for the year ahead. Following the Central Economic Work Conference (CEWC) held earlier this month, the Ministry of Agriculture and Rural Affairs (MARA) convened two significant meetings to translate national priorities into actionable strategies for rural revitalisation. Key areas of focus include the green transformation of agriculture, strengthening rural enterprises, and ensuring inclusive development for farmers.
Green Transformation Takes Centre Stage
On 13 December, MARA issued new guidelines for accelerating the green transformation of agriculture, building on the ecological priorities outlined at the CEWC. Minister Han Jun highlighted the urgent need to integrate sustainability into agricultural practices, focusing on reducing chemical inputs, improving water conservation, and recycling agricultural waste. These initiatives aim to reduce farming’s environmental footprint while boosting productivity, a crucial step in balancing food security with ecological preservation.
What sets this week’s announcements apart is the scale and specificity of the proposals. For instance, MARA’s emphasis on river basin restoration reflects a more integrated approach to rural ecological revitalisation. These policies lay the groundwork for a low-carbon, circular agricultural economy by prioritising both ecological restoration and agricultural efficiency. The focus on green transformation signals a clear direction for rural China, aligning with Xi Jinping’s long-term vision of ecological civilisation.
Expanding Agricultural Enterprises and Bridging the Gap with Smaller-Scale Farmers
In tandem with the push for greener farming, MARA meetings this week emphasised fostering large-scale agricultural enterprises. Officials recognised these “chain-master” enterprises as essential drivers of modern rural economies, aiming to innovate, enhance digitalisation, and build supply chain resilience. The government’s push to scale up agricultural enterprises stems from the need to integrate smallholder farmers into larger value chains, addressing the fragmented sector.
This week’s discussions also focused on preparing rural enterprises to adopt advanced technologies and expand their market reach. Officials outlined how these enterprises would boost productivity while ensuring growth benefits are more widely distributed across rural communities.
A recurring theme in the discussions has been bridging the gap between smallholder farmers and larger agricultural enterprises. MARA and CEWC emphasised ensuring farmers are not sidelined as rural economies modernise. This week’s policy announcements aim to strengthen farmer participation in value chains, enabling them to benefit directly from industrialisation. This approach is crucial for raising rural incomes and addressing longstanding development disparities.
Implications for 2025
The discussions over the past week make it clear that 2025 will be a critical year for rural China. With policy frameworks now in place, the government’s focus will shift to implementation. Food security, rural infrastructure development, and stabilising farm incomes remain top priorities, but this week’s meetings suggest an increasing emphasis on agricultural innovation and sustainability.
The green transformation of agriculture and the development of more substantial agricultural enterprises will shape rural China’s economic landscape in the coming year. However, challenges such as balancing environmental goals with productivity and ensuring equitable participation for farmers will require careful management. As these policies are rolled out, rural China will likely become both a testing ground for green economic reforms and a key driver of China’s broader development goals.

The Business of Wild Orchids in Rural China: Reward and Punishment
The business of wild orchids in rural China, particularly in Lu County, Henan, offers a complex lens through which to examine the intersection of economic survival, environmental conservation, and legal enforcement. In a region historically burdened by poverty, wild orchids have become a vital source of income for many rural households. However, the growing demand for these delicate flowers has led to widespread illegal harvesting, creating tension between economic opportunity and environmental sustainability.
Lu County, nestled in the western mountains of Henan, has long struggled with limited agricultural potential and relied on state aid to sustain its rural population. Over the past two decades, however, cultivating and harvesting wild orchids—particularly species such as Cymbidium, Dendrobium, and Cattleya—have emerged as increasingly lucrative enterprises. For many farmers, these orchids represent a path out of poverty. As one local official aptly noted, “In our area, there are no poor households among those who grow orchids.”
The burgeoning orchid trade has transformed the local economy, with some orchids fetching prices as high as one million RMB, particularly those with national recognition as “国兰” (National Orchids). However, this economic boom has come at a cost. The allure of quick wealth has led to a dramatic increase in the illegal harvesting of orchids from their native habitats in the mountains. Orchids, unlike many other crops, thrive in the wild, where they are found in limited quantities and require specific environmental conditions to flourish. As demand surged in the early 2000s, so did the pressure on these fragile ecosystems. By 2021, the Chinese government responded by placing certain orchid species under 二级国家保护 (Second-Level National Protection), making their harvesting illegal. However, enforcing these laws has proven difficult due to the significant financial incentives.
Local authorities have reported over 100 cases of orchid theft in recent years, and the media has recently highlighted the October 2024 arrest of Xu Ke, who sold a single orchid for 3,000 RMB at a trade event. For many, trading orchids is a risk worth taking in an otherwise challenging economy where little other means of wealth creation exist.
The orchid trade debate underscores a broader tension in rural China: balancing economic necessity with environmental responsibility. Farmers like Guo Qiang, a professional orchid grower in Shuanglongwan Town, argue that orchids are their primary source of income. Nevertheless, the ecological cost of overharvesting is becoming increasingly evident and has been widely noted in state media this week. The depletion of orchids in the wild also threatens the industry’s sustainability, as do the recent government protection orders.
The government’s decision to protect wild orchids reflects the delicate balance between fostering economic opportunity and preserving natural resources. Recent policy reversals on the protection of wild boars, as discussed in last week’s edition of The Harvest, illustrate that this move is not always the state’s default approach, making it commendable. However, the ongoing struggles in Lu County underscore a critical issue for rural governance in China: How can rural livelihoods be sustained while also protecting the environment?
Ultimately, the solution may lie in developing a more sustainable orchid farming model that prioritises ecological health while still providing economic opportunities for rural communities. However, it is unlikely that a viable model will be found in the near future, as orchids generally grow best in wild conditions—conditions that are difficult to replicate in cultivated farming. Without access to advanced agricultural techniques, irrigation systems, or proper environmental management, it is nearly impossible to mimic the complex ecosystems in which orchids naturally thrive. Until such a model can be developed, the tension between economic growth and environmental preservation will continue to be a defining issue in the wild orchid trade.
Jilin Province’s Sheltered Economy: A Model of Agricultural Transformation?
This week, Jilin Province’s agricultural transformation has been subject to press releases by the Ministry of Agriculture and Rural Affairs (MARA), providing a critical case study in China’s ongoing push towards agricultural modernisation and rural revitalisation. The province’s embrace of facility agriculture—often called the “shelter membrane economy”—has been hailed as a promising solution to food security challenges and rural economic growth.
Shelter membrane economy utilises greenhouses to protect crops from adverse weather, enabling year-round production. This approach aligns with the central government’s “big food concept” (大食物观), designed to meet growing food demands and diversify the nation’s food supply systems. According to MARA, such strategies will be integral to China’s broader agricultural modernisation efforts in the future.
The transformation in North Gouwu, a village in Yushu County, illustrates the potential of this model. Once reliant on low-yield traditional crops, the village now boasts over 1,000 greenhouses, generating an annual income of 20 million yuan from high-value vegetables such as watermelon, tomatoes, and beans. This economic turnaround is primarily attributed to state intervention, including subsidies, interest-free loans, and critical infrastructure development like water and electricity systems and transport networks. By October 2024, Jilin had achieved 89% of its annual target for greenhouse expansion, underscoring the success and scalability of this initiative.
Despite these successes, the broader applicability of the shelter membrane economy is yet to be determined. While the model has boosted local economies and enhanced food production resilience, it heavily relies on state subsidies and loans. The long-term sustainability of these financial incentives could be better, especially as pressure mounts to maintain year-round production. Additionally, the model’s focus on high-value crops could lead to an over-dependence on specific markets, exposing farmers to fluctuations in supply chains or commodity prices.
Environmental considerations also warrant attention. Large-scale greenhouse farming demands significant water resources and raises concerns about waste management. If not managed carefully, expanding such farming practices could exacerbate environmental degradation. Furthermore, the success of greenhouse farming may inadvertently sideline other critical aspects of rural development, such as land access, social equity, and governance reform. The concentration of wealth among a few farmers could widen socioeconomic divides, creating new forms of inequality in rural communities.
Ultimately, Jilin’s experience offers valuable insights into the potential of facility agriculture to drive rural economic transformation. However, whether this model can be replicated across less-developed regions of China, particularly in the absence of sustained government support, remains unclear.
Xinhua Focuses on Yongsheng County’s Forest Mushroom Industry as a Driver of Economic Growth
This week, Xinhua News spotlighted Yongsheng County in Yunnan Province, where an innovative model of mushroom cultivation is driving local economic growth. Leveraging the county’s 62.94% forest coverage, Yongsheng has positioned itself as a key player in China’s mushroom industry, generating 5.4 billion yuan in 2023 and benefiting over 10,000 rural households. The practice of cultivating mushrooms in forested areas offers an economically sustainable and environmentally harmonious alternative to traditional farming.
This forest-mushroom symbiosis is an effective method, capitalising on the natural conditions of the forest environment—humidity and shade—that foster optimal mushroom growing conditions. It aligns with national rural revitalisation strategies, promoting biodiversity and providing a viable income source for local farmers.
However, the approach may be more a reflection of practicality than a deeper ecological commitment. Mushrooms naturally thrive in forested, moist environments, suggesting that the practice may stem more from convenience than a profound shift towards sustainable agricultural principles. While the model holds promise, its scalability could be challenging in regions lacking similar forest conditions to those in Yongsheng County.
Crucially, unlike the large-scale mushroom industries in countries like the Netherlands and Poland, Yongsheng’s community-based model prioritises local sustainability over industrial efficiency. This approach could potentially attract high-end buyers at competitive rates, although China as a whole faces challenges in positioning its produce in this premium market segment. The key challenge, therefore, will be ensuring Yongsheng’s competitiveness against much larger suppliers, both domestically and internationally.
Promoting High-Standard Farmland Development Across China
This week, the People’s Daily highlighted the ongoing push for high-standard farmland development across China, generating significant online discussion. This initiative is integral to the country’s efforts to ensure national food security while improving the livelihoods of rural populations. By the end of 2023, over 1 billion acres of farmland had been upgraded, with plans to reach 1.2 billion acres by 2030. The project encompasses various improvements, including enhanced irrigation systems, land levelling, and the construction of more efficient drainage and water supply networks.
Developing high-standard farmland aims to address issues such as land fragmentation and outdated farming practices. In Jiangxi Province, for example, formerly scattered and difficult-to-farm mountainous areas are being consolidated into larger, more efficient plots. The introduction of mechanised farming in these regions has significantly increased productivity, turning previously small and inefficient plots into more accessible and commercially viable farmland.
In Chongqing’s Dianjiang County, the focus has been on developing diverse, large-scale, high-quality agricultural industries. Local authorities have ensured that the construction of high-standard farmland aligns with regional planning efforts, integrating infrastructure improvements such as roads and water conservation measures to match local agricultural needs.
However, the success of these initiatives is not without significant financial challenges, such as land consolidation, the development of advanced irrigation and drainage systems, and the construction of essential infrastructure like access roads and water supply networks. Securing consistent funding for these projects' initial development and long-term upkeep has been a major hurdle, particularly in rural areas with limited financial resources. To address this, Henan Province has introduced a new financing model integrating land management with infrastructure maintenance. This approach combines public investment with private sector involvement, ensuring that development costs are spread across multiple stakeholders. This innovative approach provides the capital for large-scale projects and ensures that the benefits of these developments continue to support agricultural productivity and rural development in the long term.
Transformative Impact of the Yangtze River’s Decade-Long Fishing Ban
China’s ten-year fishing ban on the Yangtze River has yielded significant ecological, social, and economic benefits, according to press releases issued by the Ministry of Agriculture and Rural Affairs on 17 December. This landmark conservation effort represents a pivotal move in ecological restoration and sustainable development, offering a model of integrated governance and biodiversity preservation for large river ecosystems worldwide.
In March 2024, the State Council introduced new directives to formalise the ban as a long-term initiative, calling for greater harmonisation between national and local policy measures. As part of this effort, regulations governing recreational fishing in restricted waters have been refined to balance ecological protection with community engagement, ensuring stricter compliance and broad-based support.
Enhanced enforcement mechanisms have been central to the ban’s success, the Ministry highlighted. Sophisticated radar and video surveillance now monitor key waterways, including the Yangtze River’s main channel and major lakes. Targeted initiatives, such as the high-profile 渔政亮剑 (‘Fishing Enforcement Sword’) campaign, have effectively curtailed illegal fishing activities. From January to September 2024, administrative cases linked to illegal fishing dropped by 42.1% compared to the same period last year, while police dismantled 613 organised criminal groups and arrested 8,579 individuals, representing a 38.5% increase in arrests.
The Ministry also reported substantial progress in resettling displaced fishermen and ensuring their long-term welfare. Programmes providing high-quality aquaculture seeds, technical training, and employment support have facilitated the successful transition of over 148,200 individuals into new livelihoods. Social security provisions have been expanded, with 22,050 former fishermen now enrolled in pension schemes and 5,580 already receiving benefits. Meanwhile, safety nets have been established for the most vulnerable, with 1,250 people covered by minimum income guarantees and 341 individuals receiving hardship support. As always, standard caveats regarding the accuracy of state-released figures should be considered.
It is clear that the ban has driven measurable improvements in the Yangtze’s biodiversity. Conservation initiatives have included the release of over one million juvenile Chinese sturgeon into the river in 2024, alongside breakthroughs in artificial breeding for the critically endangered Sichuan-Shaanxi taimen, which has been successfully bred in captivity for the first time. Emergency rescue protocols for the Yangtze finless porpoise have also been introduced, with plans to implement a tiered rescue system. Aquatic biodiversity monitoring across the river basin reveals marked ecological recovery: the aquatic integrity index for the Yangtze’s main stem and key lakes, such as Dongting and Poyang, has improved by two grades compared to pre-ban levels.
As detailed by the Ministry of Agriculture and Rural Affairs, the Yangtze River fishing ban exemplifies a multifaceted approach to ecological governance, combining policy innovation, enforcement, community support, and scientific advancement.
Between Mountains and Waters - Photo of the Week for 20 December 2024
This week’s featured photo takes us to the coastal salt fields near Weifang in Shandong Province, where workers armed with shovels and conveyor belts craft towering salt mounds. The scene illustrates the fusion of nature, labour, and industry, preserving a process that has remained largely unchanged since the early days of China’s Reform and Opening-Up Period.
Source: Wang Wei. “晒盐工堆海成山.” Southern People Weekly, December 16, 2024.