Global Poverty Reduction and Development Forum-2012-Chapter VI

Chapter VI: Report of “Rural Technology Innovation Policy Research to Support Inclusive Development”

JIA Jingdun

China Rural Technology Development Center, Ministry of Science & Technology, P.R.China

 

Preface: Inclusive development is a strategic choice to realize new development on a global scale. The crux of inclusive development is the agricultural, rural and farmer development which is a vital issue China faces, a global strategic problem, and that bears upon the global food security and global stable development. Technology innovation is the master key to speeding up agricultural and rural development, reducing poverty, and realizing the coordinated development of urban, rural, agricultural, industrial and commercial services. It is of great importance to formulate corresponding strategies and policies, and establish corresponding system mechanism.

I. Inclusive development is confronted with new opportunity

1. Through the international financial crisis of 2008, the world economic and social development faces a tough task to speed up the transformation.

The international financial crisis of 2008 that arose from the United States exerted a widespread and profound influence on the world economy and society. The crisis, caused by the overheated real estate industry and the financial industry in essence, made the investment income expectation far greater than the actual industry return and broke the balance of income and expenditure required by the basic economic principle, causing the interruption of the flow of capital, and an immense damage to the normal development of financial industry and the real estate industry, and a derivative and even destructive impact on other industries as a result of modern industry, especially the wide permeation of trans-regional, cross-industry and transnational financial industry. The influence of financial crisis on the real economy gave rise to serious unemployment and other social problems. The financial crisis intermingled with trade and economic development imbalance, resources and energy shortage, food security, poverty, population aging, unemployment, and sovereign debt problems already existing in the international community, which   further amplified the negative impacts of the financial crisis. So far, the impact of financial crisis is not over yet, and more effort is to be made at the stable growth of economic recovery and improvement of the people’s livelihood in countries around the world.

The moves toward global economic recovery and stable growth involve not only strengthening of adjustment and supervision of financial industry, global reflection of existing development modes, adjustment of economic structure, and exploration of new development mode, including strengthening technology innovation, developing strategic emerging industries, and vigorously developing real economy in order to realize the sustainable development of higher level. China puts the transformation of the mode of economic development, the adjustment of the economic structure as the basic strategy of the “twelfth five-year” national economy and social development, which not only has an important significance to deal with the financial crisis but also enables China to solve the problem at the stage of development in order to achieve long-term development. One can say that the financial crisis provides new opportunities and boosting impetus for the transformation of international economy. What differs from the past is that in the era of further globalization, joint and coordinated act of the international community is in urgent need to deal with the international financial crisis.

2. Global climate change brings a new challenge

Response to global climate change is the common challenge that countries in the world confront. Review the history of global response to climate change, which is actually a history of scientific coordination of the relationship between development and ecological environment and the coordination of national responsibility and obligation at different stages of development. The act of response to climate change has not yet achieved the expected achievements. In 1992, there were delegations from 183 countries and representatives from 70 international organizations of the United Nation and its subordinate institutions attending the United Nation Conference on Environment and Development held in Rio de Janeiro. The conference passed “the 21st Century Agenda”, “UN Framework Convention on Climate Change”, “Statement on Forest Issue Principles”, “Rio Declaration of Environment and Development” and other important documents, which marked that response to the global climate change has become a global consensus and that developed countries and developing countries are determined to take practical action to cope with global climate changes. In twenty years, the United Nations will hold “Rio + 20 Summit”, the topic of which will focus on the role of green economy in sustainable development and poverty reduction and sustainable development system framework. This reflects the urgency of global efforts to achieve sustainable development.

Strategic measure of an effective response to global climate change is to transform the traditional economic development mode. The technology system was established on the basis of fossil energy as a result of the outbreak of the industrial revolution during the second half of the 18th century, and completely changed the mode of world economy and industrial development. Fossil energy and mechanical equipment have become the basic support of the global economic development mode. This kind of mode of production with great productivity created huge wealth for human beings, and has led to a fundamental change to the relationship between economic industry and ecological environment resources, resulting in immense ecological destruction, environmental pollution and resource and energy consumption. The enormous fossil energy consumption caused massive greenhouse gas emissions. The increase of greenhouse gas emissions is the main cause of the raising earth’s temperature. For many years, the direct result of global climate change is the world climate anomaly and the increase of extreme climate disaster frequency. A change of the development mode that has a history of more than 200 years is a must for the reduction of greenhouse gas emissions to the greatest degree and the effort to realize green development and the harmony of economic industry and ecological environment.

In 1987, the report “Our Common Future” issued by the United Nations World Environment and Development Committee gave the definition of sustainable development that “meet the needs of contemporary people, and do not constitute a hazard to the development of the ability of future generations to meet their needs”, which has been widely recognized. Reviewing the world changes since 1992 United Nations Conference on Environment and Development, although all countries in the world put emphasis on sustainable development, it is clear that the result of 20 years of struggle is not what has been expected:

A. The current world population has reached more than 700 000 000, up by 27%. West Asia, Africa and South America   have the largest population. There is a more strained relation between man and nature.

B. The earth’s temperature has increased 4 °C. Moreover, the decade of the earth’s highest temperature in history was after the year 1998.

C. Carbon dioxide emissions have reached 30 billion tons at present, compared with 22 billion tons in 1992.

D. Forest and tropical rain forest area has reduced by 300 million hectares.

E. Currently, there are 21 megalopolises of more than 10 million people in the world, as against 10 in 1992.

F. The consumption of plastic, one of the pollutants that make the most contribution to environmental pollution has reached from 149 million tons in 1992 to the current 265 million tons.

G. The world is still faced with widespread hunger and poverty. Since 1970 when there was a record of hungry population, the global hungry population has reached 1 billion, 98% in developing countries and the largest in the Asian-Pacific region and Africa. According to the United Nations’ 2010 multidimensional poverty index, global poverty population has been up to 1.7 billion at present.

These data show that problems concerning global sustainable development, population, poverty, resources and environment have not yet come to a satisfactory solution, but are mounting. To solve such a series of major international issues has a direct bearing on global stability and sustainable development. Countries in the world must act more effectively to change the mode of economic growth, minimize resource consumption; ecological environment destruction and emissions of pollutants and at the same time look for new development models so as to realize coordination and tolerance of global economic and social development and nature.

3. New changes have taken place in social development

Income imbalance is a global issue and has widened since the 2008 international financial crisis. According to calculations, the income of 40% poorest population in the world accounts for only 5% of the total income in the world; that of 20% richest population accounts for 75% of the total revenue. The uneven distribution of wealth aggravates social contradiction. In particular, not full employment and high unemployment intensifies social contradiction and social unrest in some countries. Strike, social turmoil and social riots in some EU member states, such as, Greece, Spain, France and other countries facing debt crisis in Europe are the direct result of ineffective economic development and serious unemployment. The vast income gap between urban and rural residents is the most outstanding problem in income imbalance in China. In 2011, rural per capita net income is 6977 yuan, compared with 21 810 yuan for urban per capita disposable income in the same period in China.

Aging population brings new problems and has become increasingly serious in developed countries. Japan   entered an aging society since the 1970 s, with more than 23% population over the age of 65. Things in Europe are similar. The aging of population has a far-reaching influence on modern society, directly increasing social spending, aggravating national, family and social economic burden and reducing labor supply in economic activities. In EU countries, aging and high social welfare coexist, which, to a certain extent, further aggravates the government’s financial burden and adds structural problems to economic recovery growth.

Costs in modern social life continue to rise. The constant improvement of living standards means that living cost is on the rise. Practicing thrift in tradition is becoming a thing of the past with each passing day. With the development of science and technology, there is a continued progress, and the level of industrial technology is unceasingly climbing, which requires people to master more knowledge.  The number of social members receiving education is on the increase and the time to receive education and training is extending. This increases the cost of both personal and social cost.

Population flow is a prominent issue. In countries around the world, due to the imbalance of economic development and different living levels, cross-region population flow is an economic problem as well as a social problem. In 2011, the number of Chinese migrant workers reaches 250 million, outgoing migrant workers up to 130 million, which reflects the imbalance of urban and rural employment, income and living standards. Worldwide population flow, especially immigration, has become a complex and important international economic and social issue. Population tends to flow from undeveloped countries with lower living standards to more developed countries with higher living standards.

To sum up, in the face of current challenges and future development, and in an era of globalization, development gap between countries is still tremendous, cultural diversity of different countries still exists, and strategies and measures are adopted by countries at different developing stages to develop their own economy and society. Hence, to realize new sustainable and stable development, the economy is required to establish an effective, coordinative and inclusive system and mechanism arrangement between countries. To truly achieve sustainable development, the economy and society is required to establish an effective, coordinative and inclusive system and mechanism arrangement between people and nature, economy and nature. This needs the efforts of developing countries and more efforts of developed countries. In exploring new development modes, both developed and developing countries are faced with common tasks. To build a harmonious, stable and happy society, under the circumstance of globalization and multi-culture blend, countries must establish an inclusive system and mechanism arrangement between different strata and groups, and between different social members.

II. The basic issue of inclusive development is rural development.

1. Historical origins and connotation of inclusive development

In 2007, the Asian Development Bank first put forward the concept “inclusive growth”. Its basic meaning is: effective inclusive growth strategy needs to focus on creating high growth of productive jobs, ensure social inclusiveness of equal opportunities, reduce risks and bring vulnerable groups a social safety net to cushion them from the hard realities of life. What it seeks is coordinative development of society and economy, and sustainable development, rather than pursuit of pure economic growth. “Inclusiveness” is also one of the concepts proposed in the United Nations millennium development goals. On April 15, 2011, President Hu Jintao in Boao Forum for Asia, delivered a keynote speech “Inclusive Development: Common Agenda and New Challenges”, stressing: inclusive development is to make interests and benefits of globalization and regional economic integration benefit all countries, make benefits and wealth of economic growth benefit all people, especially vulnerable groups and less developed countries. When it comes to growth, it is generally understood as economic growth; when it comes to development, it then expands to social areas, including economic and social development, and the relationship between man and nature. So it has a broader meaning.

Inclusive development concept is put forward in view of the reality of the current world economic and social development, and in view of the prominent issue of human development. From the perspective of international relations, after the end of cold war, the world economy saw long-term stable development. In particular, globalization made in-depth development, developed countries benefit enormous profits from globalization, developing countries, especially emerging countries benefit significant improvement in economic strength from globalization, and international economic strength contrast and relationship between rights and interests faces profound adjustment. Economic strength contrast change impacts international economic system and operation mechanism formed since the end of World War II. The urgent problem facing the world is whether human society through the two costly World Wars has enough wisdom and ability to find a peaceful and harmonious way to achieve the new common development on the basis of identity difference and rational acceptance of the reality changes.

Seen from the relationship between man and nature, the world population continues mushrooming. So the economic and social development mode with the support of fossil energy and natural resources at the cost of ecological environment pollution and even destruction is hard to carry on. The world has reached a consensus on this. The increase of greenhouse gas emissions, continuous increase of the earth's temperature and extreme climate disasters of increasing frequency promote the urgency of the need for the world to jointly take positive actions to save energy and reduce emission for the pursuit and realization of green development, harmony and tolerance between man and nature.

From the point of view of social development, different countries of the world are faced with a number of outstanding social issues: for example, the issue of widespread and further expanded wealth inequalities and poverty in the wake of the international financial crisis; the issue of employment difficulty and high unemployment; the serious “three dimensional rural issues” in developing countries, the issue of food security; the issue of aging population prevalent in developed countries; the issue that high welfare outdoes economic supporting capacity in some developed countries and so on. In the United States, the largest economy in the world, the top 1% of the rich has more than 40% of total assets, and the other 80% of the population has only 17% of the wealth, which is the most unequal distribution of wealth since the 1920s. In 2010, the population below the poverty line in the United States reached 46.2 million, the highest in 52 years. The world was faced with the challenge of social problems constantly accumulated in the long-term development and new problems. Likewise, China witnessed substantial increase of the living standards of the whole society, and significant improvement of social security and social service, on the one hand; the great enlargement of income distribution among social members, social strata, employment personnel of different industries, and regions, on the other hand; the radical increase of the gap between possession of resources or application rights and interests of different social members. In accordance with the poverty line of 2300 yuan, there is still a population of 128 million people below the poverty line in China. The living standard of farmers is low, and the rural Gini coefficient is close to the international warning line. The widening gap between farmers and urban inhabitants is a typical embodiment of the unequal distribution of income. We are facing the conditions of the large gap between social members, uneven occupancy of resources and many social contradictions to maintain social stability so as to meet the challenge of new development.

Currently, a series of major issues human is facing are issues that mankind confronts on the way to pursue development and a better life. In the world, there is no eternal solution to any issue. In fact, these issues   are often development-caused or accumulated issues. Development-caused issues can only be addressed by means of development. This is the historical origin of inclusive development. That is to say, use inclusive concept and methods to realize inclusiveness between countries for development, realize inclusiveness between man and nature, and realize social inclusiveness to reach new development. This is also a strategic way to achieve sustainable development at the present times.

2.  “Three dimensional rural issues” is the world one?

The essence of agriculture-countryside-farmer problem concerns the issues concerning the development unbalance between agriculture and non-agriculture, the rural and the urban, farmers and citizens, and the relative disadvantage of agriculture, countryside and farmer.

China is undergoing rapid industrialization and urbanization. Agriculture-countryside-farmer problem looms large. Agriculture is a typical disadvantaged industry. In 2011, the added value of the primary industry in China was 4.7712 trillion Yuan, accounting for 10.1% of GDP, the employment personnel engaged in the primary industry was about 300 million people, occupying 35% of the total; the level of agricultural mechanization reached 54.5%. It can be seen that agriculture in China is still a disadvantaged industry of lower productivity, greater intensity of labor and higher risk. The sci-tech culture quality of agricultural employment population is significantly lower than that of non-agricultural employment personnel, and the age of employment population is obviously higher than that of non-agricultural employment personnel. In 2011, the urbanization level in China reached 51.27%, urbanization population up to 691 million, so China has entered the era of urban society. But still 657 million of rural population live in about 41 000 townships and 620 000 administrative villages. Although rural population is less than urban population, in rural areas where there are fewer employment opportunities, employment population accounts for 53% of the total employment population, and is more than urban employment population where there are more employment opportunities. Urban and rural dual structure problem is still mounting. Compared with urban communities, the degree of rural community modernization is significantly lower. The quality of life, living environment, development opportunity and public service is far behind the city. As rural reform lags behind urban reform, the process of rural land resources, water resources, real estate and infrastructure marketization reform is relatively slow, and the attraction of rural areas for elements of modern economic and social development is obviously not enough. Corresponding to urban rapid development, rural development situation is very serious. Farmers are relatively disadvantaged groups in China. Their income level is far below that of urban residents, and public service and development opportunity available to them is also much less than that to the city. In 2011, farmers’ per capita net income was 6977 yuan, and the urban per capita disposable income ratio is 1:3.23. The task to realize relative equilibrium and stable growth of urban and rural residents’ income is arduous.

In general, developing countries leave the issue of agriculture, farmer and countryside more outstanding, which is a common phenomenon in the process of economic and social industrialization and urbanization. In developed countries, the problem of agriculture, countryside and farmer is also an important economic, social and political issue. Agricultural subsidies prevailing in developed countries reflect the shortage of agricultural market competitive power. Although developed countries have generally realized agricultural modernization, agricultural seasonal production management mode highly sensitive to nature has not yet been completely revolutionized. In the present age, science and technology are rapidly making progress, industry, especially new and high technology industry is also booming, efficiency in wealth creation is rising all the time, and there are an abundant variety of city life and development opportunities. This presents a new challenge to the construction and development of rural communities.

3. “Three dimensional rural issues” is strategic for China to realize inclusive development.

Inclusive development requires to: Realize coordination and fairness between economy and society, man and nature, different social strata and countries in the process of development, benefit different parties, especially social vulnerable groups, embody the concept of fairness, justice, equal opportunity for all, etc., choose inclusive development strategies that are in line with China's present situation, be significant to a series of current major issues, also be strategic measures for innovative ideas and be committed to the realization of sustainable development.

China, undergoing more than 30 years of rapid development of reform and opening up, has entered the key period of comprehensive well-off society. According to the data of the International Monetary Fund, in 2011 when its per capita GDP reached 5414 US dollars and ranked the 90th in the world, China became an upper-middle income country. It is a difficult process to leap from a middle-income country to a high-income country, which will step across a “middle-income trap”. According to the general practice of international development, if per capita GDP is below-$1000, the economy will experience a development “trap” to enter the take-off stage in which per capita GDP is $3000-$1000. There are more and more various social and economic contradictions formed in the long-term development and they come to heat up. To realize the new development of $10000-$3000 per capita GDP not only has to solve the existing contradictions, but also has to complete the onerous task of structure adjustment and development mode transformation. China has entered a transitional stage of development from an upper-middle income to high-income country. Compared with the development situation 30 years ago, great changes have taken place in domestic situation, development task, development target, development restriction, and external development environment China is faced with. In an age of globalization, a favorable and peaceful international environment is required to realize the new development to promote inclusive development among countries. At home, there exists obvious wealth distribution gap and development imbalance between different social strata, social members, industries and regions, a reality that has to be faced to realize such inclusive development as social fairness, justice, equal opportunity through system and mechanism innovation. In the process of development, we need to focus on energy conservation and emission reduction, to continue to introduce foreign advanced technology, and at the same time, strengthen independent innovation, speed up economic development mode transformation, strive to realize green development and the inclusive development between economy and society, man and nature.

The main challenge of realizing inclusive development in national economy and social development is the development issue concerning agriculture, countryside and farmers. The crux and the emphasis of inclusive development lie in weak agriculture, large-scale and backward rural area, numerous and disadvantaged farmers. The biggest imbalance in China is the imbalance between agriculture and non-agriculture, countryside and city, and farmers and citizens. The relationship between them is still the most important relationship in national economy and social development. The most onerous task to build a well-off society in an all-round way is to build a comprehensively well-off society in rural areas.

III. Strengthen technology innovation, speed up rural development, and promote inclusive development

The crux of inclusive development is the development of agriculture, countryside and farmers. As the development of non-agriculture, city and citizens is advancing at a great speed under a superior condition from a higher starting point, inclusive development relies solely on the system and mechanism innovation breakthrough to realize the rapid development of agriculture, countryside and farmers, and realize the inclusive development of agriculture and non-agriculture, countryside and city, and farmers and citizens by gradually narrowing the gap.

1. Innovation-oriented rural development is the strategic path choice to speed up rural development and promote inclusive development.

The primary task of rural development is to develop agriculture. What is essential to realize the agricultural and non-agricultural inclusive development is not to limit non-agricultural development, but to speed up agricultural development. Traditional agriculture is difficult to create the labor productivity that can match non-agriculture. Its seasonal production mode and sensitivity to natural risks, as well as natural features of scale expansion and lower profitability give rise to the adverse position of agricultural development in the aspect of attracting talent, technology, investment, and other aspects that are very important to industrial development. The ultimate way out to speed up agricultural development is to carry out a strategic adjustment to agricultural structure and development mode, accelerate the inclination and gathering of science and technology, talent and investment towards agriculture, construct the system of modern agriculture industry, develop modern agriculture industry chain, make agriculture a profitable and competitive modern industry that is attractive to modern industry elements and gradually narrow the gap between agriculture and non-agriculture. To attain such a goal, an innovative road is a must for agricultural development. The practice of such countries that boast the most developed modern agriculture as the United States, Israel, Canada, Australia, the Netherlands, etc. shows that the injection of modern elements can bring about a complete transformation of traditional agriculture into an international and competitive modern industry. Chinese agriculture is an industry typical of natural resources shortage and lower technology level and marketization, so China, a country of large population, must rely on its own efforts to solve the problem of food security. Therefore, the development of Chinese agricultural can only depend on scientific and technological innovation, lighten the restriction of natural resources shortage, under the guidance of the government, and introduce technology innovation in leading non-natural resources to agricultural industrial chains to offer agriculture the same opportunity of competition and development with non-agriculture so as to achieve a remarkable rise in agricultural labor productivity.

Rural areas should develop in an all-round way, involving modern industry, modern rural community, and construction of harmonious rural community. At present, the urbanization level of China is 51.3%, corresponding to the average level in the world. The urbanization level of developed countries is generally over 70%. According to China’s national conditions, the urbanization level has reached 70%, but there will still be more than 400 million farmers in China. Today, nearly 700 million farmers live in about 620 000 administrative villages in China. To build a well-off society in an all-round way and realize modernization will of course include the vast rural areas that have an enormous population and are widely distributed. A practical way out is to build modern rural communities to present modern life for residents. Under the condition of the large disparity between urban and rural development level and natural flow of resources and elements to cities, it is necessary to explore a new path of development to quicken rural development. Innovative drive is an inevitable choice. Compared with urban development, for a long time, rural areas in China tend to be understood as a concept of place of residence, relevant policies stand far below the community development and management level. Urban reform development degree in China, corresponding laws, regulations and policies are far beyond rural areas. In terms of economic development policy, the countryside lags far behind the city. For example, in the vast rural areas in China, the marketization degree of natural resources like land, real estate, public facilities construction and operation is extremely low, and property rights development lag behind seriously. City and countryside are still poles apart, a typical urban-rural dual structure. First of all, the same development opportunity with the city should be given to rural areas to speed up the development of rural areas. With urban-rural integration scientific ideas and methods, promote reform and opening up, break through law and policy barriers, guide modern economic and social development elements to flow to rural areas, and speed up narrowing the gap between urban and rural areas to realize inclusive development.

The issue concerning farmers is essentially the gap with citizens. Human development is the home to return to of all development. In China, human development involves the development of both citizens and farmers. In the crucial period China entered to build a well-off society in an all-round way, in the transitional period from an upper-middle income country to a high-income country, and in the rapid development period of industrialization and urbanization, to solve the issue of farmers development has become an unavoidable significant problem. The development of farmers concerns the solution to farmers' employment, medical treatment, public services, education, training and other issues that involve providing and supporting human development opportunities. According to the requirements of the urban-rural integration, we should first of all make farmers and citizens get the same development opportunities. Systems related to farmers’ management and services should also be included in the reform to break the urban and rural dual structure to realize the urban-rural integration. Problems concerning rural migrant workers, actually the result of the urban and rural dual structure, both result from city management, more from rural management. An enormous difference between citizens and farmers must be given priority to so as to realize inclusive development and speed up rural development.

2. Major tasks of rural technology innovations

The major tasks of technology innovations must be formulated according to the present national conditions and serious challenges confronted for the present development when technology innovation is regarded as strategic routes to speed up the development of agriculture, rural areas and farmers, and to realize inclusive development.

2.1 Strengthen technology research on agriculture and countryside

First is to strengthen basic research on developing modern agriculture, rural economy, rural society, rural community construction and development. The particularities of agriculture, countryside and farmers in China decide several basic issues and theoretical issues, which require our further research. What is worth paying attention to is that more research has been made on agricultural production rather than on agricultural industrial chain, especially on agricultural product innovation, logistics, marketing management, etc. For a long time, the pattern with the during-production areas as the focus of research must be adjusted.

The material foundation of rural development is rural economy, the support of which is rural industry. Walking out of the limitations on understanding of traditional agricultural economy is the first imperative. Seen from the height of urban-rural economic integration, make a comprehensive study on the development of rural economy, especially break the dual structure barriers to urban and rural governance, create the flow environment of economic element equality of opportunity, guided by the government, with the power of innovation, appropriately promote elements to the countryside and accelerate flow, speed up the development of rural economy, and give priority to the construction of modern rural community.

Rural community is an important carrier of Chinese traditional culture, and the construction of a modern country needs to have modern social management. Rural society is a crux. Carrying out the research on rural community has an important theoretical significance and scientific significance for the construction of modern rural community.

The second is to implement technology innovation research. Rely on technology innovation to usher in and support rural industry, economic development, community construction and social management. The interface that science serves economy and society is products and supporting technologies. Technology innovation serves inclusive development. What is most important is to make a breakthrough on product creation and related production or business technology. Breakthrough in products and supporting technology makes it possible for technology to link enterprises, and turn into the actual strength of technological progress.

2.2 Strengthen the commercialization and industrialization of agriculture and countryside technological achievements

First is to attach great importance to commercialization of agriculture and countryside technological achievements. Agriculture and countryside have strong regional characteristics. Compared with general industrial technological achievements, pre-production test, regional test and ripening of agriculture and countryside technological achievements are more important. The commercialization of agriculture and countryside technological achievements is an indispensable link as well as a weak link. To strengthen agriculture and countryside technology innovation, commercialization of technological achievements must be enhanced.

Secondly, promote industrialization of technological achievements on the basis of strengthening intellectual property protection in agriculture. Agricultural intellectual property protection and management is a weak link of the present technology innovation. Due to the weakness of agriculture and the importance of food security, for a long time, agriculture has been the focus of the government, so a series of protection and supporting measures has been adopted. Agricultural public benefit has been widely approved by the society, which, to a certain extent, weakens the marketability of agriculture. Fundamentally, we must give play to the role of market and enterprises to develop modern agriculture. Without market, there would be no modern agriculture industries. The premise to play the role of technology innovation, develop modern agriculture and construct rural community is to recognize and protect intellectual property rights. Only protected property technological achievements can be connected with investment and market to realize the positive development of industrialization. Effective protection of intellectual property rights can mobilize the enthusiasm of the enterprise to carry out technology innovation.

2.3 Strengthen agriculture and countryside technology promotion and technological knowledge popularization

Agricultural organization degree in China is relatively low, land scale is small and the level of market development is low, which keeps more than 200 million farmers the identity of producers instead of economic legal persons. Farmer's’ production activities are an important foundation of agriculture.  It is therefore necessary to do good technological service to farmers, do good public benefit technological service to agriculture, and strengthen public benefit agriculture and countryside technology promotion. China has set up an agricultural technology promotion system covering nationwide rural areas to bear the main responsibilities for public benefit technology promotion. The challenge is to establish and perfect dynamic operation mechanism to meet the needs of modern agricultural development and rural community.

Rural technology knowledge popularization is a cause of public benefit that needs to be maintained, and an important move to improve the level of technological culture of rural community. Compared with cities, there are fewer channels for rural areas to attain knowledge and the amount of knowledge is limited. Rural technology knowledge popularization and work are relatively weak. Farmers and citizens have equal access to knowledge, which plays a basic role in the realization of inclusive development. Therefore, effective measures should be taken to enlarge the popularization of rural technology knowledge and change its weak situation.

2.4 Strengthen agriculture and countryside innovation ability construction

Agriculture and countryside innovation ability construction is an important component of national innovation ability construction, and the basis to implement the strategy of relying on technology innovation and speeding up agriculture and countryside development.

First is to continue to strengthen agriculture and countryside basic research ability construction with university and scientific research institutes as the focus, and insist on carrying out basic research on agriculture and countryside issue.

Second is to concentrate agriculture and countryside innovation ability construction on cultivation and improvement of enterprise technology innovation abilities. Enterprises have become the main part of agricultural product market and rural construction, and the main force of agriculture and countryside industry. But the universal phenomenon is that enterprise technology innovation ability in agriculture is weak, and there is a widespread lack of R & D institutions. Implementation of technology innovation strategy cannot do without the enterprise technology innovation ability construction. To promote scale and qualified enterprises to establish and improve their own R & D institutions, build reasonably structured R & D teams, and increase R & D investment. For smaller-scale enterprises, promote the integration of enterprises, universities and research institutes, and strengthen technical services of universities and scientific research institutions. Push forward enterprises to blaze a path of their own innovation-driven development.

Talent is the most important task to strengthen the agriculture and countryside innovation ability construction. Strengthen the construction of talent teams, including a large number of professional and technical talents, agricultural entrepreneurs, and experts of rural construction and management. To a certain extent, entrepreneurs and management experts are more important, for they are strategic talents that put science and technology, land, labor, investment and other elements together, and establish enterprises, develop modern industry, manage and serve modern rural community.

2.5 Agricultural and countryside entrepreneurship is a strategic task

There are major obstacles that stand in the way of rural economic and social development: low-level agricultural industrialization, underdeveloped rural industry, fewer employment opportunities and heavy employment tasks.  To solve these problems, agriculture and countryside technology entrepreneurships have to be promoted. In developed countries, to start an entrepreneurship, without exception, is a great event that the government and the society concern. Since the reform and opening up, especially since China began market economy construction, entrepreneurship work has also gradually received an attention. In terms of layout, entrepreneurship work is mainly centralized in urban areas. At present, there are about 250 million of rural migrant workers in China, and a large number of people not being in full employment in the countryside. As for enormous rural employment population, it is undesirable to merely adopt a strategy of applying for urban employments. A proper solution to this is an overall urban and rural development, to create conditions, expand employments, and attract rural population into the city to become urban residents on the one hand, to start and strengthen rural entrepreneurships in the vast rural areas and open up new channels and new space for farmers to take local employments on the other hand.

To start and strengthen rural entrepreneurship work has a strategic significance in agriculture and countryside development in China. On the one hand, to launch rural entrepreneurship work will give a strong impetus to the adjustment of agriculture and countryside development concept, and to grasp rural entrepreneurship work actually aims at the prominent issue that priority will be given to the urban flow of Chinese industrial development elements, while the countryside that lags behind and is in urgent need of element inputs, still plays a role of “rural support to city”, to pool talents, science and technology and investment to rural areas with the support of starting entrepreneurships. Remove the obstacle left over from history by “urban-rural dual structure” to rural economic development. On the other hand, give full play to the role of market mechanism to promote agriculture and countryside economic development. The government gives aid to agriculture and countryside development, at the same time, according to the system of urban-rural integration and policy arrangement, give full play to the regulating role of market mechanism, realize industrial elements to flow to rural areas, and provide a good and healthy development environment for rural industry and economic development. Change the situation that market mechanism fails to work properly in the development of rural areas.

A typical case: The Ministry of Science and Technology launched in 2002 the pilot work of rural technology correspondents, a career that combines entrepreneurial talents, investment, rural natural resources, market, information and other industrial development elements according to market mechanism, initiate benefit community in cooperation with farmers in the countryside and develop rural industry. Entrepreneurial talents are various, involving talents good at circulation of agricultural products, talents good at agricultural products processing, scientific and technological personnel or management talents. What is the most important are creative abilities. Benefit community can be an enterprise, a cooperative or an association. It is in essence a legal person economic entity of benefit sharing and risk sharing. By 2011, there have been 170 000 technology correspondents nationwide, more than 8 300 enterprises started due to their entrepreneurial activities, more than 4 billion Yuan of bank loans absorbed, and about 50 million farmer households participating in entrepreneurships, which makes a significant contribution to the development of rural industry.

3. Policy suggestions

The world economic and social development has reached such a stage: facing the formidable task of economic recovery growth in the wake of 2008 international financial crisis and the serious challenge of answering global climate change, reducing poverty and developing green economy. On the densely populated planet, the adoption of inclusive development strategy is a strategic choice of seeking common ground while reserving differences, common development, peaceful development, and harmonious development. Agriculture, countryside and farmer issue is the major issue for the development of China, and the basic issue that must be well solved to build an overall well-off society. Similar issues extensively exist in developing countries, so the “three dimensional rural issues” still exists in developed countries. The issue of poverty is closely related to “three dimensional rural issues”. In the case of China, the key to realize inclusive development is to realize the inclusive development between agriculture and non-agriculture, city and countryside, and farmers and citizens. An important measure is to speed up the development of agriculture, countryside and farmer by means of technology innovation. Adjustment and arrangement in system and mechanism are required to implement inclusive development strategy so that the idea of inclusive development can be turned into practical action.

3.1 Formulate rural technology innovation strategy for inclusive development

Agriculture, countryside and farmer issue is a global problem concerning national economy and social development. Technology innovation is a strategic measure to transform development mode, accelerate development and guide structural adjustment. For such a strategic action, at the national level, it is necessary to formulate rural technology innovation strategy of inclusive development. Such a development strategy involves agricultural development, rural community construction and management, farmer development, rural income distribution, poverty alleviation, public service, ecological environment construction, urban-rural integration system reform and innovation and other in-depth issues. Through strategy formulation, arrive at a common understanding in government and all walks of life, clarify development goals and important tasks, institute major measures, form strategic plans, make innovation a leading element to speed up the development of agriculture, countryside and farmers, and realize inclusive development between agriculture and non-agriculture, countryside and city, and farmers and citizens.

3.2 Innovate agriculture-countryside-farmer development system

Institutional issues are basic guarantee of inclusive development. First is the institution to guarantee urban-rural integration development and break down “urban-rural dual structure” institutionally. Split national communities into two parts: urban and rural areas, and direct management in accordance with a unified system to realize urban and rural unified management. Second is the institution for farmers and citizens to have equal opportunities of development and balance urban and rural development and realize equal opportunities in terms of employment, public service, education, medical care and other fields. Assets possession imbalance of farmers and citizens is an important aspect of development opportunity difference of farmers and citizens. In vast rural areas, the current land use policies put farmers in an extremely unfavorable status. Reform should be carried out as soon as possible. Third is to realize integration in terms of industrial development environment. The key to reform is to establish in the countryside the basic position of market mechanism in the configuration industry development elements, break through the bottleneck of rural property, especially land capitalization to realize the free flow of urban and rural industry development elements. This is also the key to guide investment, science and technology and other modern industry development elements into the countryside and to accelerate the development of agriculture and countryside.

3.3 Formulate policies to support rural innovations and entrepreneurships

First is to improve policies to support rural innovations, including policies to increase agricultural technology research & development, transformation, promotion and investment, and policies to improve agricultural technology innovation abilities. The issue that enterprises are weak at technology innovation should be highlighted in policy design, which is still weak. The basis to rely on technology innovation and develop industry is that industry enterprises should rely on technology innovation to realize the development of enterprises. In this sense, there should be policies to encourage and support enterprise technology innovation. Second is to make policies to support rural entrepreneurships. Under the conditions that there is an immense difference between rural development environment and urban development environment, and rural development conditions are poor, the government is required to adopt financial and taxation policies, pertinent rural business financial policies, policies guiding social capital investment so as to reduce rural business cost and risks, encourage, support and serve rural businesses. Deepening reform is required to break through the restriction of mechanism and system that blocks the flow of industrial factors so as to exert the role of market mechanism and create a good rural entrepreneurship environment.

3.4 Strengthen talent training

According to the requirements to implement inclusive development strategies, adjustment to rural development talent training is required. From the current Chinese education development situation, all kinds of agriculture and forestry universities and professional education colleges are responsible for training agriculture and forestry talents. Due to some historical reasons, these colleges and universities in discipline design tend to be good at professional talent training in the during-production field, but be weak at post-harvest link, especially market management link that is very important to the development of modern agriculture, and also relatively weak at talent training in rural community construction and management. The development of modern agriculture, the construction of modern rural community, and the cultivation of new farmers need a large number of inter-disciplinary talents who know industry and enterprise management, need a large number of professional talents who know modern agriculture, especially agricultural industrial chain and need a large number of local talents. By deepening university and vocational training institution reform, continue to do professional talent training, at the same time, promote the intersection of technology subjects and social studies, and strengthen the training of inter-disciplinary talents that meet the needs of modern agriculture and rural community development.

3.5 Perfect financial policies in favor of rural industry development

The development of modern industry cannot do without financial participation, and cannot solely rely on small loans to solve the problem of rural industry development. Compared with urban industry, rural industry has obvious disadvantages in terms of attracting financial investment. Reasons are various: First, rural industry in general is underdeveloped and relatively poor in quality. For a long time, agriculture has been the most important industry in the countryside, and other industries are quite insufficient. Agriculture often focuses on crop planting, livestock breeding and other during-production link, less involved in such after-production links as warehousing, logistics, wholesale, terminal marketing, etc. Existing rural enterprises are generally on a small scale, technically low and short of talents. Second, rural industry development is characteristic of bad environment, especially low marketization degree in terms of land use and asset management, and backward asset property in the legal sense. Real estate industry is available in urban areas but impossible in rural areas. Third, rural industry lacks professional financial instruments. For example, developing rural businesses requires risk investment, insurance, investment withdrawal arrangement and other professional financial instruments corresponding to rural businesses. To make rural industry bigger and stronger requires bank credit, social investment, capital market docking, and so on, which accords with rural industry characteristics.

To solve the problem of fund shortage in rural development, we must make a systematic arrangement in industrial policies and financial policy, and provide more borrowers for financial investment by encouraging rural industry development, supporting rural entrepreneurship and vigorously improving rural industry organization degree. Second is to study and form professional financial instruments that live up to the requirements of the development of rural industry and rural entrepreneurship.

A period of time from now on will be a critical period that China builds a well-off society in an all-round way, and also a critical period that China transforms from an upper-middle income country to a high-income country. With over 30 years of continuous and rapid development, huge changes have taken place in China’s internal economy and society, and great achievements have been made in poverty alleviation. Enormous changes also have taken place in the external environment of China’s development. Traditional mode of development is facing serious challenges. Exploring an effective mode of green and sustainable development is a major task China faces and common responsibility that the world faces. What inclusive development emphasizes is to make the fruit of globalization and economic development benefit all countries and regions and benefit all people so as to realize green development and sustainable development. It can be expected that inclusive development will receive more attention, research and practice, and play an important role in promoting the development of agriculture, countryside and farmers.