The Proposal of the
CPC Central Committee for formulating the 10th Five-Year Plan
(2001-05) outlined the nation's goals of consolidating and strengthening
the primary status of agriculture and accelerating re-organization
and restructuring of industry for the next five years.
According to the proposal, strengthening the position of agriculture
is an important part of economic restructuring and the basis
for maintaining economic growth and social stability.
The proposal said that great importance should be attached to
preserving and expanding the capacity of grain production, building
stable bases of grain production, developing a grain security
system that is compatible with the specific conditions of China
and the requirements of a socialist market economy and guaranteeing
the essential balance between demand and supply of grain.
The proposal called for the country to be fully aware of the
importance of difficulties in the development of agriculture,
always put the development of agriculture as the top priority
in economic growth and guarantee sustainable, stable development
of agriculture on the basis of improving overall quality and
According to the proposal, every possible means should be adopted
to increase the income of farmers because this concerns both
the development of agriculture and rural areas and the development
of the economy as a whole.
It called for greater efforts to be made in restructuring the
agricultural sector, actively expanding the sources for the
increase of farmers' income, stepping up support and protection
of the farming sector, effectively slashing the burdens of farmers
and securing the sustainable increase of the income of farmers.
The proposal pointed out that the restructuring of agriculture
and the rural economy should be market-oriented, based on scientific
and technological advances and persistent in exploring a new
broadness and depth of production growth.
It said that great efforts should be made to push forward the
development of a universal service system in rural areas, with
the supply of technological and information services as the
Support should be given to the innovation and spread of farming
technologies so as to make advanced, practical technologies
accessible to more farmers, according to the proposal.
The establishment of the systems of market information about
farm produce, food quarantine and quality standards should be
accelerated to guide the farmers to turn out quality farm produces
in line with market demand.
The proposal said that deepening rural reform is the fundamental
measure to preserve and promote the motivation of farmers. It
said that the development of a legal framework guaranteeing
the land system in rural areas should be accelerated so as to
maintain the dual management system that encompasses unified
and independent management and is based on household contract.
It said that on the basis of pilot reforms in certain areas,
the reform of replacing arbitrary fees imposed by administrative
authorities with taxes should be accelerated in the rural areas.
At the same time, the reform of government structure at township
level should be carried out in an active and proper way.
With industrialization as a major way for modernization of agriculture,
the country should encourage and support the enterprises that
process and sell farm produce to give farmers access to the
market so as to develop a system of profit-sharing and risk
According to the proposal, the country should increase input
in agriculture and rural areas through various channels, encourage
rural residents to participate in capital construction of farmland,
accelerate construction of roads, power grids, water pipelines,
telecommunications facilities and other infrastructures in rural
areas and improve the conditions of production, living and market
in rural areas.
The proposal noted that re-organization and renovation of industrial
enterprises and optimization of the industrial structure are
imperative tasks of economic restructuring and extremely important
to the sustainable growth of the economy. Therefore, the overall
quality and competitiveness of the industrial sector should
It said that the industrial sector should effectively change
the style of growth, enhance the capabilities of technological
innovation, adopt new and high technologies and accelerate upgrading
of conventional industries.
The proposal urged the closure of factories and mines that turn
out products of poor quality, waste resources, cause serious
pollution, or lack safety, and the dismantling of outdated equipment
and phasing out outdated technology.
It said that enterprises should go bankrupt if they suffer losses
for a long time, have debts larger than assets and have no means
to reverse the losses.
According to the proposal, acceleration of re-organization of
industrial enterprises should be in line with the principles
of specialized division and economies of scale. The country
should form a group of large companies and enterprise groups
that have their own intellectual property rights, strong core
businesses and powerful flagship entities.
It said that the country should actively facilitate the growth
of small and medium-sized companies, especially scientific and
The re-organization and restructuring of the industrial sector
should be conducted in accordance with the rule of market. The
State should properly guide the orientation of investment so
as to avoid construction of redundant projects and duplication,
according to the proposal.
Because China has abundant human resources, the country should
pay attention to the development of labor-intensive industries,
according to the proposal.
It said that the country should insist on developing its own
technological innovations as well as introducing technologies
from other countries and pay attention to the balance between
the feasibility and advancement of technologies.
(China Daily 10/19/2000)