On the protection of farmers' interests after the withdrawal of grain purchase from the protection price

Introduction: new page 1 since 2000, grain purchase in some areas of China has implemented the exit protection price policy This year, many middle and late rice, wheat and corn in provinces and cities have withdrawn from the protection price purchase scope, which means that China's grain production is basically on the track of marketization This is an important measure for China to actively adapt to WTO rules, which will have a significant impact on China's food production, and at the same time, it will highlight the protection of farmers' interests that have a direct relationship with food production Zzm I Analysis of advantages and disadvantages of grain purchase protection price The price of grain protection evolved from the price of grain purchase and sale stipulated by the government at first It is the price of grain formulated by the government to protect the interests of grain producers, consumers and operators It can be divided into purchase protection price and market sale protection price For many years, the policy of food protection price has played a positive role in promoting the development of China's food production For example, the farmers can decide their own food production behavior and reduce the blindness of agricultural activities after getting the signal of purchase price provided by the government in advance The protection price set by the government is generally higher than the market price of grain and has relative stability Therefore, the government can master the necessary food sources to ensure the basic security of food supply; the state-owned grain sector purchases grain at a price higher than the market price, which ensures that the state-owned grain sector becomes the main position of market grain purchase and sale, and the grain price is relatively stable With the deepening of grain circulation system reform and the relative surplus of production, especially after China's accession to the WTO, the disadvantages of grain protection price gradually emerge The main reason is that the makers of the protection price and the actual operators are two different interest subjects, the makers of the protection price are the macro subjects of the government, while the implementation of the protection price is a large number of microeconomic subjects with independent interests There are many inconsistencies between the operation of the food protection price and the expected regulatory objectives of the government First of all, the risk of grain circulation is borne by the government, which bears a lot of risk loss every year Under the condition of protection price purchase, the price can not fully reflect the market supply and demand, and the ability of market supply and demand to regulate grain production is weakened On the one hand, farmers can maintain a high enthusiasm of grain production without understanding the market supply and demand It can achieve the goal of grain sales at a favorable price, and a large number of losses can only be borne by the government Zzm second, the implementation of protection price purchase is not conducive to the comparative advantage of China The cost of grain production in China is higher than the world average level, and the market price of grain is about 30-50% higher than the international market price However, the development of economic crop production in China, especially the labor-intensive production of livestock, aquatic products and fruits, has comparative advantages In terms of international trade and division of labor, China should develop more labor-intensive industries and reduce land intensive production However, the establishment of food protection price limits the flow of resources to industries with obvious advantages, and damages the overall interests of the country to a certain extent Once again, there are many variables in the operation of food protection price, and it is difficult to play a role in protecting farmers Food protection price is formulated by the government according to the actual production cost of farmers and the historical experience It does not reflect the market supply and demand, nor does it reflect the price comparison relationship with other agricultural products Therefore, the protection price will show more instability in the actual operation, and the majority of farmers are often in a weak position in the game with the food purchasing department Zzm II Market Analysis on the exit protection price of grain purchase After China's accession to the WTO, the open market will play a positive role in regulating China's grain supply If the price of grain in China is too high, it will inevitably lead to the entry of foreign grain and increase the supply of grain in China At present, the world is rich in arable land resources Due to the lack of demand in the United States, Canada and other countries, many arable land is in a state of fallow China has more possibilities to exchange labor-intensive products for land-intensive products through international resource exchange In fact, China has a large rural labor population and strong grain production capacity If the domestic grain price rises, it can promote the domestic grain production in a short time Therefore, the risk of food supply cannot be overstated Of course, we must also be alert to food risks and take some safeguard measures For example, the state can obtain some food resources through special storage However, there is no inevitable relationship between the National Grain Reserve and the implementation of price support policy After the cancellation of the protective price policy of zzm grain purchase, the fluctuation of grain market price is the most obvious in the market of the sales area Grain production areas mainly decide to purchase grain according to market supply and demand, which increases uncertainty; at the same time, it is impossible for the production areas to reserve more grain for the sales areas, which provides the difficulty for the grain operators in the sales areas to obtain the source of grain That is to say, the source of large orders obtained by the grain management departments in the sales area is reduced, and new grain trading partners need to be re selected, resulting in the increase of grain trading costs in the sales area and the increase of market grain prices within a certain period of time The withdrawal of zzm grain from the protection price indicates that grain production moves to the market, and the production behavior of grain producers is guided by the market price When the market price of grain is higher than its production cost, and higher than its income of producing other crops, grain producers will expand grain production; otherwise, they will reduce or not engage in grain production Under the open market conditions, the market grain price is formed in all-round competition, and the foreign grain price has a greater impact on the domestic market Therefore, China's food production will face the competition of the international market Food risk has increased The state-owned grain management department is the most affected by the withdrawal price of grain purchase Under the protection price purchase system, the state has undertaken the losses caused by the failure of the grain sector to carry out the sale at a favorable price, and the state-owned grain management sector has not put too much pressure on its operation On the contrary, the state-owned grain management departments can use the loss subsidies allowed by the government to bargain with the government departments to obtain rent-seeking income After the cancellation of the protective price of grain purchase, the grain management department can not get the government's subsidy income and can only survive and develop through market competition After the state-owned grain management departments were put into the market, some personnel decreased with the decline of the government's grain management, while others remained to participate in the operation and competition of the grain market and became independent market subjects, mainly relying on reducing the operation cost and improving the market efficiency to obtain the source of income Zzm 3 The impact of grain purchase exit protection price on farmers zzm 1 The impact of stable income increase of food and agriculture zzm China has implemented the policy of open purchase of farmers' surplus grain according to protection price since 1998 The annual price of protection shall be determined by the government on the basis of the grain production and market price of that year According to the analysis of the purchase and protection price set by the national grain production areas in recent years, the price of rice per 100jin is generally about 4 yuan higher than the market price, wheat per 100jin is about 7 yuan higher than the market price, and corn per 100jin is about 7 yuan higher than the market price After the purchase of grain out of the protection price, due to the impact of the fluctuation of the market price, the income of food and agriculture sales will increase or decrease, especially the direct entry of grain into the market, which increases the supply of grain in the market Even if the output remains unchanged, it will increase the supply pressure in the market The market price may fall at the original level, and the income of farmers may decrease Zzm 2 Influence the stability of grain production The price of grain purchase and protection set by the government of zzm not only gives farmers a signal before production, but also guides the market price The price of grain market will not be too far away from the price of protection, which is of positive significance for farmers to stabilize grain production After the cancellation of grain protection price, the market grain price fluctuates with the supply and demand The grain price falls in the good year and rises in the bad year The domestic grain price may fall in the increase of foreign import and rise in the decrease of import However, farmers do not know the changes of the factors affecting the grain price in advance, or the cost of collecting market information is too high, so farmers can only determine the grain production behavior through the immediate grain price or by experience, and the production decision-making is easy to make mistakes, resulting in certain losses Zzm 3 Self-sufficient grain production has become the first choice of farmers Under the condition of unclear profit prospect of grain production, the primary goal of grain production of farmers is to ensure grain self-sufficiency in order to avoid risks China's land resources are scarce, the scale of farmers' land management is small, the cultivated land occupied by each household is about 0.68 hectares, and the cultivated land occupied by each agricultural labor force is about 0.2 hectares Compared with the cultivated land occupied by each household in Europe about 30 hectares, the cultivated land occupied by the United States and Canada about 200 hectares, the difference is large, and the farmers' grain production competitiveness is relatively weak However, China is rich in labor resources, and the production of labor-intensive products has strong competitiveness in the international market Therefore, it is a realistic choice for Chinese farmers to reduce food production and develop labor-intensive economic crop production However, the lower limit for farmers to reduce food production is to ensure basic self-sufficiency of food Positioning grain production at the level of basic self-sufficiency and slight savings can reduce the risks borne by farmers Zzm 4 It is conducive to the large-scale and specialized grain production Zzm is the basic environment for grain production in China with a large population and a large demand for grain According to the per capita consumption of 79.69 kg of grain in 2001, urban residents in China need to consume about 39 billion kg of grain every year In addition, feed grain and industrial grain also need to consume a large amount of grain every year, which provides a broad market for grain producers in China From the perspective of market competition, in order to achieve the average profit rate of China's grain production, it is necessary to appropriately improve the concentration of production, that is, through the voluntary, legal and paid land transfer of farmers, appropriately centralize land, technology and funds, carry out large-scale production of grain, and improve the operation efficiency and market competitiveness of grain production With the opening of grain market price, the law of value will play an increasingly important role in regulating grain production Under the function of the law of value, the farmers who do not earn money will inevitably reduce the area of grain production, and the specialized farmers who have a skill will expand the production scale, so as to realize the situation of specialized grain production Comparison between the protection of food production and the protection of the interests of food and agriculture Therefore, many experts in our country propose to subsidize the farmers The subsidy funds are paid by the grain risk fund originally subsidized to the grain circulation link