To develop modern agriculture and promote the building of a new countryside, we must strengthen government policy, funding, application ofscienceand technology, and reform.
One, we need to consolidate, improve and strengthen the policy of supporting agriculture and giving favorable treatment to farmers. We will increase direct subsidies to grain farmers for producing grain, subsidies for growing superior seed varieties and purchasing agricultural machinery and tools and general subsidies for agricultural production supplies. We will continue to follow the minimum purchase price policy for grain. We will increase support for counties and townships with budgetary difficulties and major grain-producing counties.
Two, we need to increase allocations for agriculture and rural areas. We will effectively shift the focus of state infrastructure development and development of social programs to the countryside. Budgetary support for agriculture and rural areas, state fixed assetinvestmentin the countryside and the proportion of land transfer income used for rural development are all slated to increase at a rate higher than last year. Allocations from the central government budget for resolving issues related to agriculture, rural areas and farmers will total 391.7 billion yuan, an increase of 52 billion yuan over last year. We will energetically promote agricultural insurance and expand the scope of the trial for policy-supported agriculturalinsurance.