China concluded a rural work conference on Tuesday, vowing to push forward agricultural modernization through reform and innovation.
Fiscal and monetary support to agriculture including tax breaks for banks that lend to the sector is set to continue according to China's cabinet, the State Council. Corporate income tax will only be payable on 90 percent of such revenue. Agricultural loans enjoying such tax breaks had to be less than 50,000 yuan ($8,000) previously, but the ceiling has now been raised to 100,000 yuan.
Plans to increase efficiency through use of technology and innovation are expected to bring sector's development onto a sustainable path. Despite more than a decade of successful grain harvests, agricultural development is facing increased constraints on arable land and water resources due to overdevelopment, analysts said.
More effort will be made to speed up China's agricultural modernization, ensure the nation's food security and increase farmers' incomes, Chinese Vice Premier Wang Yang said on Tuesday.
