Capital Intensive China

Farmland sales – a quiet revolution

  • Published 01 Jul 2010

Sales of the usage rights on farmland are booming, underpinning wealth creation throughout a rural economy of 721m people.

When we highlighted the surging sales of agricultural land usage rights in April 2009 (CC Apr 30 2009 Big Call), several readers reacted with incredulity. The conventional wisdom then was that a policy unveiled in late 2008 to boost the transfer of agricultural land was riddled with problems and was unlikely to have much effect. We reaffirmed our commitment to the theme by devoting a whole issue to the take-off of the rural economy (CC Sept 3 2009). However, in our view, the transformative effects of rural land transfers are still underappreciated and remain almost unreported by English-language media.

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