Food security is still an urgent issue for China and the key lies in the pursuit of a sustainable agricultural development, expert had said.

“Although the price of primary products is surging recently, it does not very much benefit the producers, peasants. It’s a double-edged sword.” Guo Jianjun, head of agriculture research office of Development Research Center of the State Council, said on a recent agricultural forum held in Fujian.

According to Guo, Decreasing agricultural acreage, lagging agrotechnical level and a widening gap between rural and urban development are some of the major side conditions for food production.

“We’re dealing with an increasing pressure even though current situation of food production seems healthy.” Guo said, explaining that the main force comes from a varying food consumption structure in recent years.

The grain harvest came to the seventh consecutive heavy yield in 2009 of over 530 million tons, equivalent to the country’s total demand of 500 million. “But there is a big contradiction in structure.” Guo said.

China had imported 42 million tons of soy beans last year, and 8.2 million tons of vegetable oil, both of which accounted for more than 70% of the total consumption. Demand for corn was also boosted by needs of animal husbandry industrial processing, which forced China to change from an exporting country to an importing country.

Although the country is making effort to improve life quality of the world’s largest agricultural population by establishing cooperative medical service and a pilot social insurance system, Guo insists there is still more needed to be done to resolve the outflow of natural resource and manpower in the rural area.

“Because of industrialization and urbanization, 120 million acres (80,000 sq km) of arable land was already occupied.” Guo said, “Each peasant house hold now only operates 0.47 hectares. The number in Taiwan Island is 1.17.”

Even the half hectare farm filed may be unattended because of draining away manpower. Statistic shows 150 million young men, 60% of the total 230 million, have left village for better income in cities, leaving only the elderly and women at home.

"Agricultural development needs technology innovation as well as young talents to carry out the innovation. If no more young people are willing to engage in agricultural production, the future of agriculture will be very dangerous.” Guo said.

“The open and reform in 80s, although brought up the peasant’s income, had also brought down old agrotechnical station system. The new system is still in contemplation. This has also limited the potential of agricultural production.” he said.

Another issue is the incompetence of financial services, according to a survey Guo’s organization carried out last year, 70% peasants are willing to loan, “but only 40% of them are eligible to do so.”

The annual income per capita of farmers was 5,152 yuan in 2009, with 8.5% year on year growth, but still only one third of urban residents. 40 million farmers live below poverty line, which is a paradox of the country’s determination to release its domestic consuming power.

Central government had set a goal to double the annual income for peasants by 2020, but Guo believes the prior consideration should be to upgrade agricultural cooperative institution to help secure a sustainable development of food production.

“There are currently 300,000 cooperative institutions in Chinese mainland, nearly one in every two villages. But most of them are not well functioning.” Guo suggested utilizing Taiwan’s experience in developing agricultural association, a system capable of popularizing agricultural technique and financial services.

However, Lin Ke Lun with China Times Taiwan expressed his concern over the feasibility of such imitation. “The agricultural association in Taiwan has evolved for over 100 years. The mechanism is built upon electoral system and managerial effectiveness, which could not be imitated overnight.”

But some is optimistic on a greater cooperation of the two sides in future agriculture. “We have strong similarities and complementary advantages.” said Sun, Ming-hsien, executive chairman of the 21th century foundation in Taiwan.

“To cultivate ‘professional’ peasants is necessary in future agriculture development. Taiwan and Chinese mainland should cooperate in strengthening the global competitiveness, especially after the Economic Cooperation Framework Agreement (ECFA) broadens the channel of communication.”

By Hu Meidong and Wei Tian