Connotation and Realization of Ningxia Agricultural Organization: Practice Induction and Model Reference

Jing ZHANG, Wei WANG, Yilian REN*, Liyan BAI, Ting ZHOU

1. Institute of Agriculture Economics and Information Technology, Ningxia Academy of Agricultural and Forestry Sciences, Yinchuan 750002, China; 2. Ningxia Hui Autonomous Region Township Enterprises Economic Development Service Center, Yinchuan 750002, China; 3. Ningxia Hui Autonomous Region Rural Economic Management Station, Yinchuan 750002, China

Abstract Through a large number of literature studies and field survey, from the perspective of small farmers’ integration into agricultural modernization, this paper innovatively divided the current integration mode of national agricultural organizations into five main types: leading enterprises, leading new agricultural business entities, cooperative financial institutions, embedded scientific research institutes, and financial poverty alleviation and assistance. It found that Ningxia region can gradually carry out horizontal integration and extension in the process of promoting the vertical integration and extension of agricultural industry value chain, and try to explore the possibility of new integration mode such as "modern agricultural cloud service public platform+leading enterprises+farmers" in Ningxia, in order to bridge the gaps in agricultural organization policies through the pilot, because the village plans to plan the development of the industry, adapt to the local conditions to strengthen the village collective economy, and continuously improve the degree of farmers’ organization.

Key words Agricultural organization, Practice model, Farmer household, modern agriculture

1 Introduction

The No.1 Document of the CPC Central Committee in 2019 emphasized that agriculture and rural development should be given priority, focusing on policies of organic interlinked that implement and support farmer household and the development of modern agriculture. The No.1 Document of the CPC Central Committee in 2020 once again stressed the need to "cultivate family farms, farmer cooperatives and other new agricultural operation entities, cultivate agricultural industrialization consortium, and integrate farmer household into the agricultural industrial chain through order agriculture, share dividends, trusteeship service and other ways. We will encourage the development of various forms of appropriately scaled-down operations and improve the system of socialized agricultural services for farmer household." It is easy to see that the implementation of these policies point to the rural industrial main entity.

According to relevant data of

Ningxia

Statistical

Yearbook

(2018), the cultivated land area of Ningxia reaches 1.293 million ha, and the rural population is 2 829 518. Based on 3.1 persons per household (calculated with the assistance of relevant departments of the Statistics Bureau in 2018), there are a total of 912 748 farmer households in Ningxia, accounting for 41% of the total number of households in Ningxia. Thus, in terms of the present regional situation and agricultural situation, small-scale peasant economy still occupies half of the Ningxia agriculture, single household of a "small-scale peasant economy" is still in a family of Ningxia agricultural development dominance, because large loss of the young labors causes early intensive cultivation of the mode of operation and was not farming culture heritage, agricultural production and operation dried up, resulting in drop of agricultural farming level, reduced output, and slow increase of farmers’ income. In the face of current agricultural organization development, unbalanced, large but not optimal industrial structure, industry body is not strong, has high cost and low efficiency in production and management, low level of agricultural organization, the new type of agricultural management main body is short of funds, and has high production pressure, and many other real factors. Then, management type, service type, and scientific service organizations need to undertake each major subject of relatively extensive way of field operation and management. Therefore, only by constantly innovating the cooperation mode of organic interlink between agricultural organizations and farmer household, expanding the living space for farmer household, and expanding diversified cooperation paths and mechanism of innovation for agricultural organizations, can we truly stimulate the development vitality of rural industrial main structures and promote the implementation of Ningxia rural revitalization strategy with high quality and high standards.

2 Concept and connotation of agricultural organization

From China’s current rural production and operation of the main structures, rural industry mainly include traditional small-scale peasant (household), family farms, farmers’ professional cooperatives, industry associations, the village collective economic organizations, rural industry socialized service organizations, agricultural industrialization leading enterprises and so on. They are promote the development of the industry with high quality, brand, to carry out the strategy of rejuvenating rural important implementation main entity, is to promote agricultural supply side structural reform, to realize the important organizational unit of people out of poverty. It is an important starting point of digital agriculture rural system and at the same time, it is the main beneficiary group of rural revitalization. Therefore, the development status of rural industrial main entity is an important sign of the high-quality development of agriculture and rural areas. The research objects of the rural industrial subject defined in this paper mainly include the leading enterprises, family farms, farmers’ specialized cooperatives and other three main entities of the new agricultural operating entities, which are collectively referred to as "the rural industrial entity" or "the new agricultural operating entity" in the following text.

In the existing literature, the new type of agricultural operators are generally divided into family farms, large professional households, farmers’ cooperatives, leading enterprises in agricultural industrialization and profit-oriented agricultural service organizations. At the Central Rural Economic Work Conference at the end of 2012, the concept of a new type of agricultural business entity was formally presented in local and central official documents. As for the connotation of new agricultural operating entities, Zhang Zhaoxin and Zhao Hai believed that new agricultural operating entities are proposed based on the traditional small-scale and semi-self-supporting family operating households in China, and mainly include large professional households, family farms, farmers’ professional cooperatives, leading enterprises and operational agricultural service organizations. Most scholars defined the new type of agricultural operating entity as an agricultural operation organization with relatively large operation scale, good material and equipment conditions and operation and management level, high labor production, resource utilization and land output rate, and commercial production as its main target. Its main characteristics are appropriate scale and specialized production.

3 Realistic requirements of accelerating the cultivation of new agricultural operators from the perspective of rural revitalization

The report to the 19National Congress of the CPC pointed out that the overall requirements of the strategy for rural revitalization are "thriving businesses, pleasant living environments, social etiquette and civility, effective governance, and prosperity". The strategy requires putting industrial prosperity in the first place, which means that thriving business is the industrial foundation of rural revitalization, the primary condition for the realization of rural revitalization and the key to the realization of rural revitalization. Country revitalization in the final analysis is the issue of development, which means to be done by liberate the rural productivity to attain development, industrial prosperity out of the past thoughts of agriculture and rural areas to grasp a single industry, to promote the development of rural industry integration to realize the modern of agriculture and rural areas with prosperous industries. In this context, we will accelerate the cultivation of new agricultural management main entity, so as to enhance the level of our regional agricultural modernization.

Second, with the development of our economy and agricultural technology level unceasing enhancement, especially since the 19CPC implement the strategy of rejuvenating the country, in promoting the modernization of agriculture, the process of comprehensively deepen rural reform, promote small farmer households organization degree has become a construction of modern agriculture industry system, production system, management system is one of the important link. Only by improving agricultural innovation, competitiveness and total factor productivity, enabling the market to allocate agricultural resources effectively and changing the backward agricultural management mode, can we achieve the organic connection between farmer households and modern agriculture. The development of various types of new agricultural operating entities and the promotion scale industrial operating among industrial entities are of great significance to the optimization of rural industrial structure, the acceleration of modern agricultural development, the increase of farmers’ income and the promotion of rural economic development, which will also become the strategic choice to accelerate modern agriculture and promote the development of the "four modernizations" in Ningxia.

4 Overview of the integrated development model of agricultural organizations in Ningxia

Both literature and practical studies show that, from the perspective of integrating farmer households into agricultural modernization, the current integration mode of agricultural organizations in China can be generally summarized as leading enterprises, leading agricultural new business entities, financial institutions cooperation, scientific research institutes embedding, and financial poverty alleviation. Fusion model mainly includes "company+cooperative+farmer household", "company+base+farmer household", "leading enterprise+cooperative+farmer household", "company+intermediary+farmer household+financial institutions", "agricultural order+the futures market", "agricultural model+options market", "agricultural bank+leading enterprises+professional cooperative+farmer household" and other types. Based on extensive and in-depth field research, we found that at present, in Ningxia, in the promotion of the small-scale peasant economy and agricultural modernization pattern of development of fusion are mainly "enterprise+base+cooperative+market+financial institutions", "national agricultural science and technology park+enterprise+characteristic industry", "company+agricultural cooperation organization+farmer household", "order agriculture", "agricultural order+the futures market", "industry leading+hotshots leading+financial support", "agricultural bank+leading enterprises+professional cooperative+farmer household" and so on. The emerging integration modes mainly include substitute tillage, land trust, food banks, modern agricultural cloud service public platform+leading enterprises+farmer households,

etc

.

Table 1 Integrated development model of sgricultural organizations in Ningxia

Based on the above model of integrated development of agricultural organizations, the specific manifestation and interest connection mode of the fusion model are described as follows:

Mode 1:

Enterprise+base+cooperative+market+financial institution.

This pattern is mainly distributed in the suburban areas with relatively developed commodity economy in Ningxia. For example, Ningxia Yinchuan Xingqing district actively explore "company+base+cooperative+market+financial institutions" organization pattern, introducing COFCO, Air China Zhengfei Group, Lingwu Xing Tang Rice Industry and Hao Wang Rice Industry leading enterprises such as through the land circulation, trade order, promoting agriculture industry to develop in the direction of specialization, scale, standardization, and in this model, under the drive of partners while maximizing economic benefit, and achieved good social benefits. This model can effectively help the farmers in the process of production and management, technology, finance and sales of agricultural products, small-scale peasant production solve the problem of weak market competitiveness, but also can improve the level of small-scale farmer households production standardization, specialization, so as to more efficiently resolve problems of low farming income and low production efficiency of small farmers. But at the same time, there are also some risk points, taken this kind of agriculture industrialization as representative management mode, on the one hand, it greatly weakens the bargaining power of small farmers, on the other hand because of the small farmers themselves scattered, weak, and in the terminal link, it is difficult for them to share the company’s reform development dividend, but are often confronted potential risks with loss "make off with money" and repudiation and breach of contract industry main subjects, the interests of farmer households do not have a fundamental guarantee.

Mode 2:

national agricultural science and technology park+enterprise+characteristic industry.

In recent years, modern agriculture industry and demonstration park of key construction projects are successively base in Ningxia. Special advantage of industrial space layout agglomeration characteristics is much clearer, and industry base, industry area and industrial district as the carrier of modern agricultural pattern have been revealed. Agricultural products processing, transportation, packaging, marketing, logistics and other industries were developed, which drive special advantage industries continue to grow stronger. At present, the construction of 5 national agricultural science and technology parks represented by Yinchuan was approved, which promote Ningxia agricultural science and technology level and accelerate the transformation and upgrading and structural adjustment of agriculture industry strong support. The core function of national agricultural science and technology park includes agglomerating agricultural high-tech, cultivate agricultural emerging forms, promoting the development of the industrial convergence, as well as reforms in rural systems and mechanisms. Therefore, this model for the formation of a new pattern of regional modern agriculture industry, transformation and upgrading, lays an realistic foundation, for the transformation and upgrading of the agricultural economy in Ningxia and builds a good platform, also makes the modern agriculture industry unceasingly rise, optimize, and gradually being transformed into economic advantage, fully demonstrate its strong industrial strength and good development trend.

Mode 3:

company+agricultural cooperation organization+farmer household.The cultivation and expansion of Ningxia’s new operating entities has set up a good platform for the regional layout, standardized production, intensive operation and large-scale development of its characteristic and advantageous industries. Especially COFCO, Yurun Group, Huiyuan group, Shanghai Seed Industry and other large leading enterprises in development of seed industry in Ningxia form a development pattern of "a special industry, several large leading", create a good beginning, realize vigorous development of farmers cooperatives, family farms and new mode of agricultural management main entity, agriculture industrialization, scale, and organizational level enhance unceasingly. In this mode, enterprises mainly focus on the production, processing, transportation and marketing of one or several agricultural products and carry out organic association with production bases and farmer households, so as to achieve mutual benefit and win-win results. Its main advantage is that as a bridge between farmer households and the market, leading enterprises can obtain a stable supply of raw materials to ensure output, price and quality, thus reducing unnecessary intermediate links and reducing transaction costs for both enterprises and farmer households. For farmer households, the risk of blind production is reduced, market information, production information and sales information can be easily obtained, stable sales channels can be obtained, and the technical support and guidance of enterprises can be obtained simultaneously, thereby improving production efficiency. But in the pattern of new agricultural management main entities and farmer households both sides is different interest entities, their pursuit of the maximization of self-interest, relationship is more dispersed, so there are new type of agricultural management main entities and small farmer households benefit coupling mechanism is not perfect, benefit assignment is unfair, the undertaking of market risk entity is not clear, the problem of high default rates,

etc

. which affect the farmer households to participate in the performance of modern agricultural development.

Mode 4:

order agriculture.

Order agriculture is based on the analysis of market demand, signed orders (supply and marketing contracts) with a small number of large brokers, cooperatives, leading enterprises and other large companies, and then the production task is allocated to each farmer households, to achieve one-to-one planting and sales. Taking Ningxia Zhongning Wolfberry industry and Provide Vegetable for Hongkong industry as examples, the two industries have basically realized the full coverage of order production. The most important characteristic of order agriculture is "production determined by sales", which solves the problem of unmarketable agricultural products well. At the same time, food safety guarantee and supervision are stricter, and product quality is more standardized. Therefore, while promoting the diversification of the development of Ningxia’s agricultural industry, order agriculture also achieves double harvest of economic benefits and social benefits. But since general consideration of the characteristics of agriculture which lack of quality, the quality of agricultural products was directly affected by the natural force majeure factors, it is difficult to ensure that every order can reach the same standard, at the same time, the supply and demand for understanding the connotation of the quality of agricultural products from both sides, and both sides do not have a reasonable agricultural product quality standards to limit, so there is the issue of "malicious default". These problems nowadays are not the problems of an industry that order agriculture facing, but quite a common problem for the whole order agriculture participants. Also for this reason, we can’t rush for order agriculture, and it is necessary to find a reasonable transition plan, gradually transfers the risk of each stage and scattered order to safeguard the interests of both sides.

5 Ningxia agricultural organization integrated development pattern for reference

Mode 1:

leading enterprises+base+scientific research institutes+cooperatives+farmer household.

The most typical region of this pattern is Yuanzhou, Guyuan, Ningxia. In 2014, Yuanzhou took advantage of hundred-hectare of barren hills in Hechuan Town and introduced Ningxia Ruidanyuan Oil Peony Industry Limited Company, a leading enterprise for poverty alleviation. Through the form of "leading enterprise+base+scientific research institute+cooperatives+farmer household", they built a production base of oil peony and develop related industries such as peony seed oil and peony scented tea processing. While helping more than 300 poor people to find jobs and increase their income, the base renovated barren hills and restored the ecological environment. The development of this mode in Guyuan has not only obtained higher industrial added value, but also brought good ecological benefits.

Mode 2:

industry leading+able people leading+financial supporting.

Caichuan Village in Zhaike Town, Yuanzhou District, Guyuan, Ningxia is located in destitute areas of Liupan Mountain. Caichuan Village actively explores the new financial poverty alleviation pattern "industry leading+able person leading+financial supporting", and forms the "Caichuan pattern" that industry leading is the pillar, able person leading is the guidance and financial supporting is the guarantee. This has played a significant role in pushing forward the development of local poverty alleviation. By constructing the "bank+government+farmer household" trinity cooperation pattern, this pattern explores the new idea of "industrial support+financial poverty alleviation" work, and adopts measures according to local conditions and households. Financial institutions rely on the operational mode of "government sets the stage+industry leading+able person leading+financial supporting" and the petty loan business of "Sanhulianbao", financial institutions fully support the development of local leading industries, and establish a long-term assistance and cooperation mechanism with Caichuan Village, which has achieved good economic and social benefits. This pattern focuses on petty loan, aims at the ordinary farmer household, simplifies the process, centralizes processing and door-to-door service, and lets resources of rural commercial bank sink to the poor village. On the one hand, it is beneficial to developing the local resources and village internal financial resources, and promoting the effective connection of financial petty loans and targeted poverty alleviation, and realizing the mutual benefit basis between farmer household and banks. On the other hand, it can reduce resources outflows, connect and absorb the outside capital, attract urban capital to flow back to the countryside.

Mode 3:

modern agricultural cloud service public platform+leading enterprises+farmer households.

The mode of modern agricultural cloud service public platform+leading enterprises+farmer households mainly relies on two modes of operation: land trust and joint tillage. Land trusteeship refers to a kind of agricultural management mode in which farmer households entrust their land to agricultural social service organizations for tillage and management. Some of them are trusteeship for the whole process from planting to harvesting, and some are semi-trusteeship for some or several production links. Joint tillage refers to farmer households uniting to break the boundary of ridge fields, select unified production varieties and carry out unified field operation, so as to realize large-scale agricultural operation. We will build a public platform for modern agricultural cloud services for people to get rid of poverty and get rich. The operator platform will provide information about farmers to financial institutions, and assist financial institutions in evaluating and granting credit to farmers and managing the flow of funds. By docking with the soil formula data interface of the Academy of Agricultural Sciences, the property, climate and conditions of the land were accurately measured to obtain the optimal planting scheme. Through the docking of agricultural input goods management platform, agricultural products such as pesticides, fertilizers, seeds and so on are put on record management. The supplier shall carry out the measurement standard supply according to the soil testing formula configuration standard, and on the basis of the operator platform, the supplier shall conduct centralized training for the agricultural machinery team, and the agricultural machinery team shall uniformly distribute input products and provide agricultural machinery services for farmers. The collection and storage institutions shall conduct unified purchase and storage of agricultural products, and the recycling institutions shall conduct unified recovery of agricultural waste, so as to realize unified service, unified soil testing formula, unified planting, unified collection and storage, unified sales, and unified recovery.

Mode 4:

party branch+cooperative+village collective economy.

Whether farmers can get rich or not, the key lies in the cadres (or party branch). The mode of "party branch+cooperative+village collective economy" not only encourages the party branch to lead the establishment of land share cooperative, but also develops characteristic planting and breeding, rural e-commerce and other projects according to local conditions, so as to drive the increase of farmers’ income and make them get rich, and strengthen the village collective economy. Lishi Village, Fengling Township, Longde County, Ningxia, has given full play to the role of "two leaders" in rural areas and explored the mode of "party branch+cooperative+village collective economy" by drawing on the experience and practice of joint-stock reform in rural areas of other provinces and municipalities. Lishi Village founded "Lishi village Fengling Town Longde County shares economic cooperative", after successfully constructing and operating, it extended once again and set up the agricultural materials supermarket, vinegar, pure stitch mill processing workshop and other processing industries with local characteristics, established a farm machinery socialization service organization at the same time, implemented operating independently management mode, explored the development mode and operation mechanism that "capital becomes share capital, farmers becomes shareholders, earnings have dividends". On the one hand, this mode is conducive to promoting the reform of rural collective property right system and further promoting the establishment and perfection of stock-holding cooperative management system. On the other hand, it is helpful for all regions to take advantage of the opportunity of the verge economy, to plan the industrial development according to the village policies, and to develop and strengthen the village collective economy according to local conditions.

6 Key problems in the development and innovation of Ningxia agricultural organization

(i) The intensification and marketization of the main industries in rural industries are relatively low, and the scale of the industries is not economic. There still exist the extended development of rural industry in Ningxia, and the degree of industry intensification, scale and marketization is relatively low, backward production technology, equipment, management experience as a whole is insufficient, lack of unified standard of industry, industry production, farmer households dispersed management problems, lead to industry within the region characteristic agricultural output is low, small size, the quality is not high, the overall economic benefit is poor, and the scale of the industries is not economic.

(ii) The rural property right system reform is slow and the collective economy is small, which makes it difficult to stimulate the development vitality of industries with distinctive advantages. The reform and development of rural property right system, which is mainly based on land, is slow. It is difficult to establish an urban-rural unified construction land market with and a rural land transfer service system at the county, township and village levels. The form of farmers’ transfer of land contract and management rights is simple. The actual work of rural collective land ownership, collective construction land use right, contracted land management right, housing ownership and homestead are progressing slowly. The scale of rural collective economy is small, and the development and utilization rate of collective assets, resources and funds are not high. It is difficult to guarantee the economic interests and social welfare of the relevant workers in charge of the collective economy. Collective income increases slowly. The asset transformation of rural resources is slow, and the development mode of village-level collective economy is single, which makes it difficult for farmers to increase income.

(iii) Incomplete socialized service system of agriculture makes it difficult to realize the "second leap" of industries with agricultural characteristics and advantages. Ningxia established agricultural socialized service system of organization and leadership and policy supporting which are insufficient, new agricultural socialization service platform system integration difficulties, single service supply capacity, insufficient service mechanism innovation, the service industry development is slow, difficult to form public service, cooperative service, and market service of the organic combination and the overall coordination, cannot provide effective support for agriculture special advantage industries in Ningxia development and security.

(iv) Insufficient government financial and private capital input makes it difficult to establish a diversified agricultural investment and financing system. The integration and optimization of agriculture-related funds are not enough, each department acting on its own, making it difficult to achieve joint efforts to guide and promote the sustained and rapid development of new types of agricultural business entities. The annual financial growth rate of investment in agriculture industrialization special funds in Ningxia Hui Autonomous Region is small, the modern agriculture demonstration base, deep processing of agricultural products, brand cultivation, market development, industry development of ecological migration village,

etc

. supporting and guiding are insufficient of key areas and crucial links, and lack of targeted preferential policies, the new type of agricultural management and industry subject credit funds incline is not big. The threshold of bank credit is too high, need not collateral but credit, but no one dares to guarantee. These have become the primary obstacle of financing difficulties for major subjects, which has formed the dilemma and embarrassing situation of "want but dare not to borrow" and "qualified but cannot lend". Enterprises and each main entity want to expand the scale, but lack of follow-up development funds, leading enterprises are difficult to list financing and issue bonds, and other problems make it difficult for agricultural organizations to achieve diversification of investment and financing entities.

7 Countermeasures and suggestions

(i) Focusing on mutual assistance and cooperation in industrial operations and constantly improving the level of farmers’ organization. We will actively support and guide the development of leading enterprises, rural economic cooperation organizations, professional associations and other industrial intermediary organizations, vigorously promote the in-depth development of the industrialized operation mode of leading enterprises+cooperative organizations+farmer households, and constantly improve the level of farmers’ organization. It is recommended to encourage leading enterprises and new business entities,

etc

., taking standardized bases as carriers, to form a group of industrial consortiums with a high degree of specialization through mergers, reorganizations, acquisitions, holding and other means. Industrial consortiums shall focus on mutual assistance and cooperation and standardized management among various industries in the process of development. For example, in addition to the normal production and circulation links, it can also provide rural tourism, folk handicrafts, leisure and entertainment and other management content. At the same time, we can also establish a close interest connection mechanism between enterprises and farmers through order production, assume loan responsibility and return of loan commitment, credit guarantee and other forms, so as to further build industrial leading enterprises while driving farmers to develop their industries and improve their level of organization.

(ii) Making innovations in institutional building, stimulating the endogenous driving forces of production factors in industries with distinctive and advantageous agricultural features. We will continue to make innovations in science and technology, property rights, and business models. We will deepen rural reform, foster new types of operating entities, and stimulate the internal driving forces of production factors in industries with distinctive agricultural features and advantages. We will adjust and optimize the industrial structure with distinctive agricultural features and advantages, make innovations in the ways of production and operation, and strive for competitiveness through scientific and technological progress, strive for efficiency through large-scale and standardized production. Through the cultivation of large-scale and diversified new operating entities, the leading enterprises engaged in agricultural product processing, farmers’ cooperatives and other entities are encouraged to play a leading role in promoting the construction of new operating entities and other organizations in system and mechanism construction, and to play a important role in stimulating the endogenous driving force of production factors with agricultural characteristics and advantages. Second, make full use of Ningxia rural population flow and the national key support favorable opportunity time of family farms and farmers’ professional cooperatives, adjust measures to local conditions to establish accord with land circulation, financial credit and other support policies of Ningxia agricultural reality, define the family farm and professional large scale difference, the development of appropriate scale of the family farm, to prevent scale diseconomic phenomenon happening again. At the same time, relevant departments can rely on the advantages of talent revitalization in the rural revitalization strategy, introduce relevant policies to encourage high-quality rural talents to return to their hometown and participate in the construction of new agricultural operating entities and other agricultural organizations, so as the new agricultural operating entities and other agricultural organizations to gradually get rid of the bottleneck of talent shortage.

(iii) Expanding industrial and value chains step by step to promote cross-border allocation of factors and industrial linkage. It is necessary to accelerate the development of new types of agricultural operators in processing industry, transportation, marketing and circulation industry, rural service industry and leisure agriculture, Internet+and other new forms of business, promote the transformation of Ningxia’s "1+4" characteristic industries from product production to production of industrial chain and value chain, and realize the integrated development of first, second and third industries. We should have the key to the carry out the work of key link of industrial chain integration, lead the primary industry to organize and carry out according to market rules, second and third industry relying on the platform of internet and others, for example, now popular electric business platform for creative short video and broadcast channel development, extend the industrial chain and value chain, promoting cross-border configuration and industrial linkage, and realizes the small-scale production and big market, urban and rural areas, the Internet platform and the effective integration of agriculture.

(iv) Managing agricultural subsidies in a detailed manner and making different and accurate regulation and control. On the premise of maintaining policy stability and continuity, we should focus on upgrading agricultural subsidy policies to improve the precision and directivity of subsidies. First, it is recommended to explore the establishment of a big data system for agricultural production and operation, so as to comprehensively and accurately grasp the regional situation, agricultural situation and agricultural production and operation. Second, according to the characteristics and needs of different industries, different regions and different subjects, it is recommended to make rational use of policy tools such as subsidies, compensation, prices and finance. At the same time, we should speed up the establishment and improvement of the quota standard system and implement directional, fixed-point and quantitative support, so as to achieve the effect of direct tracking and feedback on the implementation of policies. Third, for general small-scale farmer households, it is recommended to continue to adhere to direct subsidies, track the effect of subsidies, and explore the establishment of a sound subsidy mechanism; for new operating entities with operating at an appropriate scale, the focus should be on helping to solve financing difficulties, risk prevention and control, and achieving economies of scale.

8 Conclusions

Through extensive field survey and literature studies, it is found that Ningxia region in recent years the development of rural industry fusion overall level improved significantly, relatively complete industrial chain, full business pattern basic formation, remarkably increase of rural vitality and farmers’ income continues to increase, and initially apparent of agricultural industry development pattern of "a kind of industry is prominent, diversified industries, industry concentration, intensive business". In view of these, it is recommended to speed up the development industry development planning, excavate the function mechanism of the main body of industry in maintaining the interests of smallholders and promoting agricultural modernization, make the full use of the village collective mediation mechanism, interest exchange and balance mechanism, adjust measures to local conditions to develop and grow village collective economy, and continue to improve the level of farmers’ organization.