Professional managers key to rural vitalization, expert says

China should deploy professional managers to its villages to oversee economic development and free up local officials to focus on governance, a national political adviser said, arguing the move will help unlock sustainable growth in the countryside.

The proposal from Zhou Li'an, a member of the National Committee of the Chinese People's Political Consultative Conference and an expert on rural economy and regional development, comes as China shifts its focus from poverty alleviation to a broader rural vitalization strategy aimed at further narrowing the urban-rural divide.

Under the current system, village secretaries of Communist Party of China and officials typically handle both administrative duties and commercial development.

"Village officials are more suited for political governance or traditional roles, but they are not good at economic management," Zhou said. "You need professional people to do this professional work."

Zhou's proposal is set to feature in discussions at the ongoing two sessions — the annual meetings of the nation's top legislature, the National People's Congress, and the top political advisory body, the CPPCC National Committee — where rural vitalization is among the critical topics up for discussion.

While acknowledging the idea may spark debate, Zhou said such structural reforms are essential for the long-term success of the countryside.

Zhou, director of Peking University's Faculty of Economics and Management, pointed to the emergence of "rural CEOs" in prosperous regions like Zhejiang province as a model.

These individuals — often young, urban-trained professionals returning to the countryside — focus exclusively on commercial strategies such as building brands, managing collective assets and developing high-value industries.

"By separating these roles, we can create positions and space for professionals to play a big role," he said.

The idea of professional economic managers in rural areas has gained attraction in recent years among economists as China steps up its rural vitalization efforts.

Speaking at a forum in Beijing on Dec 21, Sun Qixin, president of China Agricultural University, said the country faces a shortage of professionals who combine technological expertise with business and management skills as rural industries increasingly integrate agriculture, manufacturing and services.

The conference took place after "rural collective economy managers" were formally recognized by national authorities as a new profession earlier that month.

Beyond governance reform, Zhou said attracting private investment remains critical to rural development, but businesses need clear profit incentives.

"Market players are profit-driven. They need to see real and sustainable profit opportunities," he said.

He urged local governments to showcase the diverse economic potential of rural areas beyond agriculture, including rural tourism, wellness retreats and cultural industries. "Unused farm homes can be renovated into guesthouses. Traditional crafts can be turned into educational workshops," Zhou said.

He also called for developing industry clusters that integrate production, processing, logistics and services into coordinated systems, lowering entry barriers for new businesses and reducing transaction costs.

To de-risk investment, Zhou suggested local governments take equity stakes in promising ventures, sharing risks with private investors. Financial institutions should also design credit and insurance products tailored to rural needs, including government-backed guarantees and agricultural insurance programs.

On rural e-commerce — a crucial tool in China's fight against poverty over the past decade — Zhou warned that many regions are falling into homogeneous competition, selling similar products and competing mainly on price.

"Price wars focus on being the cheapest while ignoring value creation," he said. "The future of rural e-commerce is not just selling cheaper, but selling smarter and creating unique value."

He advised local authorities to build regional brands with distinct identities based on local natural resources and industrial strengths. Each region should concentrate on one or two core products and establish high quality standards to protect its reputation, he said.

Zhou also encouraged integrating e-commerce with agriculture, culture and tourism. Typically confined to indoor settings where they showcase local products, livestreaming studios could instead move directly into fields to broadcast crop growth and share local traditions.

"This storytelling adds emotional value to the product's selling process," he said.

Farmers and rural cooperatives should also diversify sales channels beyond major e-commerce platforms, exploring business-to-business options such as fresh food supermarkets and corporate procurement, Zhou added.