Construction of Regional Grain Industry Chain and Supply Chain in Yunnan Province

2022-05-30 05:56XuejiaoWANG,LiangLI,ZhaoqingMAO,LongweiLI,LiangzhengCHEN
农业生物技术(英文版) 2022年4期

Xuejiao WANG, Liang LI, Zhaoqing MAO, Longwei LI, Liangzheng CHEN

Abstract As a southwestern border province of China, Yunnan is featured by the geographical advantage of proximity to the Indo-China Peninsula which is known as World Rice Warehouse, and its capital and technology are ahead of the neighboring countries of China. Therefore, to enhance its support capability in consolidating and improving the national food security strategy, Yunnan should further develop its comparative advantages by building the regional food industry chain and supply chain depending on the provinces grain system of production, processing, storage and transportation, as well as its agricultural economic and trade cooperation platforms and channels with the neighboring countries of China. In this study, comparative analysis and related methods were used to systematically analyze the scale of grain production in Yunnan, the proportion of its grain production to the national total amount, the transition of its grain variety structure and the characteristics of its food security system, as well as the grain export trade of the 6 countries in the Indo-China Peninsula from 2010 to 2019. Then, the problems in grain production in Yunnan were clarified, such as the decrease of grain ration production capacity, the decline of comparative benefits of grain production and the insufficient support for agricultural "going global" strategy. Finally, a series of countermeasures were put forward, including further implementing the strategy of "reserving grain in land and technology" to increase Yunnans production capacity of grain, focusing on agricultural products storage and transportation system to improve the ability to obtain grain from abroad, expanding the border processing and logistics industry, optimizing the policy of agricultural products import and export, and etc.

Key words Food security strategy; Industry chain and supply chain; Comparative advantage; Production capacity; Yunnan

Received: April 20, 2022  Accepted: June 27, 2022

Supported by the Construction of Think Tank for Yunnan Agricultural Development and Policy Research on Science and Technology Management (202102AE090036-15); the Research Project of Yunnan Provincial Committee of Jiusan Society (YN93/2020018); the Talent Project for Yunling Scholars (YNWR -YLXZ-2019-013).

Xuejiao WANG (1986- ), female, P.R.China, assistant researcher, Ph.D., devoted to the research on agricultural industry economy, E-mail: 947141329@qq.com.

*Corresponding author. Liangzheng CHEN (1964-), male, P.R.China, researcher, devoted to the research on agricultural development strategy and industrial economy, E-mail: clz1234@163.com.

Food is the paramount necessity of the people. For any country, food supply is the most important thing. Since the beginning of the 21st century, there have been increasing unfavorable factors affecting world food security. International conflicts, extreme weather, natural disasters, and the economic recession caused by the coronavirus epidemic and the disruption of food trade supply chains have superimposed each other, exacerbating the instability and uncertainty of the global food supply system, which means that the world food security is facing multiple challenges. By the end of 2020, it was estimated that the covid-19 epidemic would increase the number of hungry people in the world by 83 million to 132 million, indicating that the world food security situation is not optimistic[1]. Food in the hand makes it no need to panic in the heart; the people are the foundation of a country, and food is the primary need of the people. The food problem of 1.4 billion people has always been Chinas most basic national conditions and the most fundamental peoples livelihood. Only by firmly maintaining Chinas rice bowl and always taking the initiative in food security can we continuously enhance peoples sense of gain, happiness and security in the realization of the Two Centenary Goals, and make the people truly live with dignity and security. Although Chinas food security is generally good after entering the 21st century, the status of food as an important strategic material has once again been strengthened in the face of a complex and severe international environment, especially the global outbreak of the pandemic in 2020. At the same time, the trend of "de-globalization" of the world economy and the reorganization of regional industrial chains and supply chains have emerged, and thus ensuring national food security will face greater challenges and higher requirements. Therefore, the CPC Central Committee and the State Council reviewed the situation and put forward the strategic idea of building a "dual circulation" development pattern, and once again emphasized the importance of "consolidating the foundation of food security and ensuring self-sufficiency in food rations". The Ministry of Agriculture and Rural Affairs and other major ministries and commissions have taken a series of actions to further step up efforts to ensure food production and supply. As a province that seeks to balance its own grain production and consumption in China, Yunnan has ranked 14th in grain output for many years, and it has also made positive contributions to the national food security of China on the basis of ensuring the food security of itself. Under the international background that foreign grain investment and trade has become a global trend, and developed countries in Europe and the United States have controlled most of the worlds trade markets with their long-term operations, accelerating the construction of regional grain industry chain and supply chain in Yunnan province by giving full play to its advantages in response to the implementation of national grain security strategy of China is not only in line with the spirit of the national food security strategy, but also the needs of the self-balancing of grain and the development of export-oriented agriculture in Yunnan, and it can also better serve the "Belt and Road" initiative, which is conducive to promoting the construction of Yunnan as the radiation center for South Asia and Southeast Asia and the construction of the "dual circulation" development pattern.

Evolution and Influence of Grain Support and Protection Policies in Yunnan

As a grain production and consumption self-balancing area in China, in addition to fully implementing the national agricultural and grain support and protection policies and measures, Yunnan innovatively launched the establishment of a comprehensive demonstration area for food security in 2005 based on its own agricultural and grain development, where the major crops were high-quality and special-purpose varieties of rice with high-quality, corn specialized for feed, and potatoes for processing and export, which had great potential to increase output and good market prospect. By reference to the selection criteria for the counties as national commodity grain bases in China and commodity grain bases in Yunnan with consideration comprehensively given to the existing local arable land area, grain-growing area and output, ability to provide commercial grain and the correlation between grain production and the livelihood of the rural population, 60 main grain-producing counties were selected in Yunnan to carry out the step-by-step implementation with unified planning by combining provinces, prefectures and counties, and the center demonstration and leading radiation[2]. The Yunnan government increased the investment in capital and scientific technologies, improved the basic conditions and integrated and promoted existing mature technologies by integrating relevant agricultural support funds, setting up special funds and guiding social funds. It also strengthened the land production capacity, scientific and technological support capacity and processing and transformation capacity, comprehensively improved the integrated grain production and processing capacity in Yunnan Province, extended the industrial chain, and increased the added value, so as to achieve the goal to "reserve grain in land and technology", and to consolidate the foundation of food security, promote the adjustment of agricultural industry structure and increase farmers income in Yunnan[3]. Especially since 2010, taking advantage of the national implementation of the "National Plan for Increasing Grain Production Capacity of 50 billion kg (2009-2020)", Yunnan province has earnestly organized and implemented the plan to increase grain production by 5 billion kg and a series of medium-low yield field transformation projects, adopted a series of measures to increase support for the main grain-producing areas, and focused on supporting 50 main grain-producing counties (cities, districts) and 30 backup counties (cities, districts) to build the commercial grain base characterized for high-quality rice, corn, potatoes and miscellaneous grains, which has further concentrated the production of grain crops in the advantageous areas, making the grain production capacity of the province significantly improved. In 1984 and 2004, the total grain output of Yunnan reached as much as 10 million t and 15 million t, respectively; from 2016 to 2019, the grain output and per capita average kept maintaining at the level of over 18 million t and 380 kg, respectively[4].

Characteristics of Yunnans Food Security Guarantee Capabilities

Steady improvement of grain production capacity but low proportion

It has been reported that with the adjustment of the national food security strategy and the advancement of the structural reform of the agricultural supply side in China, the grain-growing area in Yunnan has shown a fluctuating and slight decline trend since 2014, but it remained stable at 4.17 million hm2 from 2018 to 2020. It is noted that with the continuous progress of the delimitation and construction of the 3.492 7 million hm2 national grain production functional zones and important agricultural product production protection zones in Yunnan, the production capacity of grain and other important agricultural products has been further improved. According to the statistics of the Yunnan Investigation Team of the National Bureau of Statistics, Yunnan would have another bumper grain harvest in 2020 with the annual grain-growing area of 4.167 4 million hm2 (a year-on-year increase of 0.04%), and the grain output of 18.958 6 million t (a year-on-year increase of 1.38%). Despite this, the grain output of Yunnan has always been ranked 14th in China, accounting for less than 3% for a long time.

Guaranteed grain reserves and supply but high proportion of cross-provincial transfers

During the 13th Five-Year Plan period, the grain-producing capability of Yunnan improved steadily, with the permanent basic farmland reaching up to 4.9 million hm2, and the average annual grain-growing area reaching 4.175 million hm2. According to the data provided by the Yunnan Grain and Strategic Reserve Bureau, by the end of 2020, the annual purchase of grain by grain enterprises in Yunnan Province had reached more than 1.1 million t, and there was no problem of farmers "difficulty in selling grain", with local grain reserve reaching 2.25 million t, a year-on-year increase of 125%. In addition, Yunnan established a provincial-level dynamic reserve which could hold 150 000 t of rice, and in 2020, in response to the emergency needs of the epidemic, a temporary provincial-level reserve with the capacity 50 000 t of finished grain (rice) was established. At present, the grain reserve in Yunnan is at record high, and grain reserve at all levels can ensure the normal consumption of the permanent residents for more than four and a half months in Yunnan. Although the reserve supply is guaranteed, for a long time, the daily ration consumption in Yunnan is mainly the rice Heilongjiang and Jilin, where the rice is high-quality and cheap. Every year, the total amount of rice transported from outside Yunnan accounts for about 30% of the total consumption of that year, indicating that the rice consumption of Yunnan is highly dependent on external transferring. In 2019, more than 6.6 million t of grains entered Yunnan from outside the province. With the acceleration of industrialization and urbanization in Yunnan Province, as well as the increase of population, the development of tourism and the improvement of peoples living standards, the demand for food consumption has shown a rigid increase, and the gap between the production and ration consumption has increased. Thus, it is estimated that the amount of food transferred from outside Yunnan will continue to grow.

Advantages and Challenges of Building Regional Grain Industrial Chain and Supply Chain

Advantages and foundations for building regional grain industrial chain and supply chain in Yunnan

Geographical advantages of proximity to World Rice Warehouse

The 5 countries in the Indo-China Peninsula, namely Vietnam, Laos, Myanmar, Cambodia and Thailand, have superior climate conditions, fertile land and rich workforce. According to the statistics released by the Food and Agriculture Organization of the United Nations (FAO), during the 20 years from 2001 to 2019, although the total rice output of the 5 countries accounted for only 15.97% (17.16% in 2010) of the total rice output of the world, the rice exports accounted for 42.93% of the total global rice exports, with the highest reaching 51.9% in 2008 and the lowest of 31.17% in 2013, thus making the place commonly known as World Rice Warehouse. Together with India, which is close to Myanmar, in the 10 years since 2010, the total rice output of the 6 countries accounted for 37.99% (38.77% at the peak in 2011) of the global total rice output, but he proportion of total global exports reached 64.04%, especially in 2017, when the rice export of the 6 countries was nearly 31.9 million t (milled rice equivalent), accounting for 68.82% of total global exports. India, Thailand and Vietnam are the top three rice exporters in the world, and Myanmars rice export volume also exceeded 2 million t. From 2011 to 2018, the annual rice export volume of these 4 countries accounted for more than 60% of the global total, which reached as high as 66.50% in 2015. From 2016 to 2019, Cambodias annual rice export was more than 500 000 t, while the annual rice export of Laos (data only available after 2014) was less than 50 000 t.

With the development of economy and technology, the grain output of these countries has increased year by year, and the desire for grain export has become more and more urgent. Yunnan is not only connected with the mountains and rivers of the 5 countries of the Indo-China Peninsula, but also directly borders with Vietnam, Laos, and Myanmar. In this way, it has the obvious geographical advantage of cooperating with relevant countries to build a regional grain industry chain and supply chain.

Good foundation for agricultural economic and technical cooperation

As early as the 1990s, the Chinese government cooperated with the governments of Myanmar and Laos to carry out planting agricultural economic crops to replace poppy cultivation in northern Myanmar and northern Laos. After entering the 21st century, under the strategic background of "going global" in agriculture, by making full use of its basic advantages in resources, geography, technology and industry, Yunnan province took South Asian and Southeast Asian countries as important breakthroughs for "going global" in agriculture, and have successively signed memorandums of understanding on agricultural cooperation with Bangladesh, Sri Lanka and other countries. Moreover, by improving the cooperation mechanism and implementing cooperation projects, Yunnan government has guided and encouraged agricultural enterprises in the province to build agricultural bases abroad, opening up a new situation in agricultural foreign economic cooperation[5-6]. Based on the multiple collaborative modes of "going global" in production, processing, technology, epidemic prevention and production chain, steady development has been achieved in the trade of agricultural products, demonstration and extension of agricultural science and technology, joint prevention and control of border animal diseases, overseas alternative planting and agricultural investment, gradually forming a multi-level and wide-ranging agricultural "going global" pattern guided by the government and supported by scientific research with the corporate as the main body. Remarkable achievements have been made in the construction of regional agricultural product industry chain and supply chain, mainly for grain and rubber, tea, sugarcane. At present, Southeast Asia countries have become the major importers of  characteristic agricultural products, small-scale agricultural machinery, and agricultural materials of Yunnan, and an area spread with the foreign agricultural investment from Yunnan. Compared with neighboring countries, Yunnan province has a higher level of agricultural science and technology, and has obvious advantages in the breeding of high-quality and high-yield new grain varieties and supporting cultivation techniques. Yunnan Academy of Agricultural Sciences has signed agreements on agricultural science and technology cooperation with Cambodia, Laos, Thailand, Vietnam, Myanmar and other countries, and led to the establishment of the "Greater Mekong Subregion Agricultural Science and Technology Exchange and Cooperation Group", "China-South Asia Agricultural Science and Technology Exchange and Cooperation Group" and "China-South Asia and Southeast Asia Agricultural Science and Technology Innovation Alliance" and other scientific and technological cooperation mechanisms, and built 4 agricultural science and technology demonstration parks under the cooperation with Cambodia, Laos, and Myanmar, which has gradually deepened agricultural science and technology cooperation, and initially formed a center to radiate Chinas agricultural science and technology to South and Southeast Asian countries. With the gradual advancement of China-Lancang-Mekong agricultural cooperation led at the national level of China, the cooperation between both parties will be further expanded and deepened.

Well-equipped cooperation platform and channel advantages

Yunnan is an important meeting point in the construction of the "Belt and Road" Initiative, and it is the frontier and radiating center of Southwest Chinas opening up. Since 2015, based on its location advantages and characteristic resources, Yunnan Province has actively served and integrated into the construction of the "Belt and Road" Initiative, made every effort to promote the construction of a radiation center facing South Asia and Southeast Asia, and continuously deepened economic and trade exchanges with neighboring countries, made unprecedented achievements in the transport infrastructure and communication projects, constantly improving the conditions for the cooperation of Yunnan with neighboring countries to build the regional grain industry chain and supply chain[7]. On the one hand, Yunnan shares borders with Laos, Myanmar and Vietnam. There are nearly 20 national first- and second-class ports and traditional border passages along the border. Relying on these ports and border passages, Yunnan actively promotes the construction of 3 cross-border economic cooperation zones and 9 border cooperation zones, which have become a development and opening platform system, especially with the gradual construction of the China (Yunnan) Free Trade Pilot Zone, the conditions for opening up and cooperation along the border will be greatly improved[8-9]. On the other hand, Yunnan has built an external transportation support system with 5 cross-country railways, 5 cross-country highways, and 3 cross-country waterways, and initially formed a three-dimensional transportation skeleton network integrated with highway, railway, airlines and water transportation[8], which will greatly enhance the traffic capacity of the 3 channels between Yunnan and South Asian and Southeast Asian countries going in the direction of the east, west and south, further shoring up the transportation conditions for Yunnan to cooperate with neighboring countries to build a regional grain industry chain and supply chain.

Systematic grain processing, storage and transportation capacity

The prefectures and cities along Yunnan have relatively large grain storage, processing and transportation turnover capacity. For example, at the end of 2019, Dehong Prefecture had a total of 123 grain business enterprises, including 7 state-owned grain enterprises, 116 private enterprises, 68 grain processing enterprises, and 12 emergency grain processing enterprises. The state-owned grain and oil purchase and sales enterprises realized an operating income of 137 million yuan. Dehong Prefecture vigorously develops high-quality and safe food products, and has successively cultivated a number of cross-regional, diversified and large-scale grain business enterprises such as Zhefang Gongmi Co.Ltd., Xiaobilang Rice Industry, Xiaokuang Rice Industry, and Yikun Co., Ltd. "Zhefang Gongmi" has become a registered product with geographical indications and won the top ten rice regional public brands in China, as well as 11 other famous grain trademarks and 24 well-known trademarks[10-11].

Difficulties and problems in the construction of regional grain industry chain and supply chain in Yunnan

As an area with balanced grain production and consumption, after years of efforts, Yunnan province has achieved remarkable results in the construction of grain industry chain and supply chain, and has basically completed the construction of grain reserve, circulation and supply system. In Yunnan, grain production has developed steadily, with abundant grain stocks and supplies, stable markets, and overall good food security. However, there are still some shortcomings, such as the "double decline" in the grain-growing area and output in grain production, which should be attached with great importance to[12-13].

Sharp decrease in rice fields and wheat resources, and significant decline in grain production capacity

Although the grain production capacity of Yunnan has increased year by year, the production capacity of rice and wheat, the 2 major grain varieties, has declined significantly. As is shown in Table 2, the growing area and output of rice in Yunnan in 2019 were only 76.48% and 89.62% of those in 2001, respectively, and 51.33% and 52.15% of those in 2001, which almost dropped by half. It indicates that the rice-growing fields and wheat resources in Yunnan are decreasing, and this phenomenon is still going on.

It can also be seen from Table 2 that, in 2001, the growing area of rice and wheat in Yunnan accounted for 40.12% of the total grain area, of which rice accounted for 25.36%, and wheat accounted for 14.77%; the output of rice and wheat accounted for 49.37% of the total grain output, of which rice accounted for 40.09% and wheat accounted for 9.28%. However, in 2019, the total growing area of rice and wheat decreased by 12% to less than 30% (only 28.10%), in which the growing area of rice decreased by more than 5% to only 20.20%, while the growing area of wheat decreased by nearly 7% to only 7.90%; the proportion of output dropped by nearly 17%, which was less than 1/3 of the total (only 32.40%), of which the proportion of rice output decreased by 11.5% to only 28.56%, wheat decreased by 5.4% to only 3.84%.

Low technological level, grain production efficiency and benefits

The grain production efficiency and planting benefit level in Yunnan province has been lower than the national average level for a long time without any change, and the gap is becoming greater, which deserves the attention of both grain producers and managers. In terms of average yield per unit, Yunnans grain yield per unit has been lower than the national average for a long time due to the low quality of arable land, poor farmland water conservancy infrastructure, and low cultivation level. According to the data compiled in the China Rural Statistical Yearbook since 2001, from 2002 to the present, the comprehensive grain output in Yunnan has been less than 80% of the national average, and the highest in 2018 was only 79.29% of the national average. The output per unit of rice, the major ration in Yunnan, has long been lower than the national average by 12%, and the output per unit of wheat has long been less than 1/2 of the national average. The contribution rate of scientific and technological progress in grain production in Yunnan is still far behind the national average, and the gap is widening year by year.

As for grain production benefits, according to the 2018-2019 National Agricultural Product Cost-Benefit Data Compilation of China, from 2017 to 2018, the production benefits (total output value-total cost) of Yunnans major ration crops, except for japonica rice, were all in a state of loss (negative margins) (Table 4). In terms of varieties, the production of indica rice in the main producing areas of China is profitable, while that in Yunnan was a loss. Although in terms of specific values, the total output value of rice and maize in Yunnan is higher than the average of the main producing areas in China, the total cost is much higher than the average of the main producing areas. Furthermore, the wheat production of Yunnan has suffered a serious loss due to the large gap between the output level and the national average of China.

Low comparative benefits, and urgent needs to protect the grain-growing enthusiasm of local and peasant households

Among the 5 major grain categories of rice, corn, wheat, potato and beans, no one shows high output value except for potato. The low comparative benefits of growing grains is not only a problem in Yunnan, but also common in China and even in the world. According to the National Agricultural Product Cost-Benefit Data Compilation of China, since 2016, the average income of Chinas 3 major grain crops (rice, wheat and corn) has turned negative, entering an era of grain production loss. Except for rice, which has a slight surplus due to the high level of mechanization in the main producing areas, the production of the other 2 major grain crops (maize and wheat) both entered a state of deficit, which is gradually increasing. Affected by the fact that the comparative benefits of growing grains are far lower than that of most other crops, and they are almost in a state of total loss, the enthusiasm of the majority of farmers in grain production has been severely frustrated, and the competition for land between food crops and cash crops has become increasingly prominent. For one thing, the food crops in Yunnan suffer from the poor arable land conditions and the limited mechanization and scale, and for another, the featured agricultural products have obvious advantages and relatively good benefits due to their diversity and out-of-season planting, making the competition for land between food crops and cash crops be around for a long time and have become increasingly prominent (Table 5). Thus, the pressure to stabilize grain production will persist for a long time and will grow.

As is shown in Table 5, from 2017 to 2018, except for japonica rice and potato, the grain production in Yunnan was basically in a state of overall loss, especially the loss of corn and wheat reached more than 6 250-7 500 yuan/hm2. Although the production of japonica rice has a slight surplus, it was very low and dropped from less than 2 500 yuan/hm2 in 2017 to less than 1 500 yuan/hm2 in 2018. On the other hand, open-field red cabbage, open-field Chinese cabbage and other vegetables, which needed low capital, labor and technology inputs all achieved a net profit of 17 000 yuan/hm2, and those with slightly higher factor inputs, such as tomatoes and cucumbers, had higher incomes. Due to the loss of grain cultivation, framers in some arable areas preferred to growing cash crops to food crops, while in the vast mountainous and semi-mountainous areas, where the development of other agricultural industries such as vegetables and fruits was constrained by various factors such as capital, technology, infrastructure such as irrigation and transportation, and the market, the prime-age labor force transferred to the cities to work, and the phenomenon of abandoning and changing crops in farmland were not rare. Thus, the willingness and ability to invest in grain cultivation are insufficient, and the local government has an arduous task and obvious pressure to stabilize grain production[14].

Urgent call for policy support for overseas agricultural investment and buy-back products

Agricultural investment generally has the characteristics of long cycle and high risk, especially oversea agricultural investment. Although Yunnan province has made significant progress in the field of oversea agricultural investment and mutual beneficial cooperation, mainly in the field of oversea opium poppy replacement cultivation and agricultural product reselling[15], Yunnan agricultural enterprises are relatively small in scale, poor in the ability to resist risks, and lack of overseas investment risk assessment institutions and operating mechanisms, together with the lack of compound talents in foreign investment, insufficient investment policy support, poor transportation conditions in border areas and neighboring countries and unstable host country policies, leading to the problems of low oversea agricultural investment capacity and small scale of agricultural economic and technical cooperation with low competitive level, which have become shortcomings that restrict Yunnans agriculture to accelerate its "going global" development.

Countermeasures and Suggestions for Building Regional Grain Industry Chain and Supply Chain Based on Advantages of Yunnan

To ensure food security, production is the foundation, reserve is for emergency, and circulation is only a means of regional balance. In order to ensure food security, in addition to establishing and improving the grain reserve system and food security monitoring and early warning mechanism, the most important thing is to strengthen production capacity against the backdrop of the "double decline" in the growing area and output of rice and wheat, the two major ration crops nationwide and in Yunnan. In addition, moderate import is an important part of Chinas food security strategy: on the one hand, China is currently facing increasing pressure to ensure food security, and on the other hand, Yunnans own demand for food is also increasing year by year, making the amount of import food increased year by year. Therefore, it should coordinate the central and local grain emergency reserve resources of the border cities and the market reserve resources of various enterprises and various parks. Besides, it should improve the utilization efficiency of market grain reserve facilities such as the local grain industry parks (Honghe) while reducing the pressure on national grain emergency reserves of China. In addition to the above, emphasis should be laid on strengthening the construction of grain production capacity, consolidating the foundation of grain security, and stepping up grain production and trade cooperation with neighboring countries. The following countermeasures are proposed for the agriculture in Yunnan:

Focus on arable land protection and scientific and technological support to consolidate  food production foundation

Further implement the strategy of "reserving grain in the land" and consolidate the foundation of food security

First, based on the delineation of the "three red lines" (namely, the three control lines of ecological protection red line, permanent basic farmland and urban development boundary) of land and space layout of China, it should clarify the amount and layout of cultivated land that must be protected in various regions, and severely punish illegal possession, pollution and damage to cultivated land; strictly implement the policy of "equilibrium between occupation and compensation" of cultivated land, formulate precise compensation standards for cultivated land occupied by construction, and try its best to achieve balance between occupation and compensation[16]. Second, it should take the construction of national grain production functional zones as an opportunity and focus on water conservancy facilities and soil fertilization to intensify the construction of high-standard farmland, fully implement relevant preferential support policies, and effectively improve the output capacity of land. Third, it should formulate practical and effective measures to properly solve the problems of land disputes between food crops and cash crops, as well as the "non-food" phenomena of rice fields, protect rice field resources, and balance the relationship between rice supply and demand.

Further implement the strategy of "reserving grain in technology" and improve the efficiency of grain production

First, it should increase financial investment, improve scientific research conditions and environment, focus on rice and wheat, the 2 major ration crops, and continue to support the breeding, demonstration, popularization and application of new high-quality, high-yield, barren-tolerant grain varieties with multi-resistance to consolidate the foundation of "reserving grain in technology", thereby improving food production efficiency. Second, it should continue to support the research and development and demonstration of green, ecological, efficient and light production technologies for grain; intensify efforts to promote the achievement of high-yield establishment of grain and green production increase model. The third is to focus on the requirements of supply-side structural reform, deepen the development of the characteristic grain industry, adhere to the market and result orientation, and further shore up the support for early spring potatoes, high-quality rice, vegetable maize, high-oil and high-protein feed corn, beans, and miscellaneous grains, so as to improve the quality and level of food supply.

Further improve the efficiency of grain production and protect the enthusiasm of farmers to grow grains

First, it should increase the intensity of grain subsidies, improve grain subsidy methods, continue to vigorously implement projects such as increasing grain production by technology, stabilizing grain and increasing efficiency to improve grain output and quality, as well as raise the minimum protection price of rations such as rice and wheat to protect and improve farmers grain-growing benefits through comprehensive measures such as offering subsidies, increasing production, saving costs, and enhancing efficiency, and stabilize the production capacity of rice and wheat, the 2 major ration crops[17]. The second is to enhance the support for the production of potato, which has better planting benefits for it is both a food crop and cash crop as well as a kind of forage, especially the support for production of out-of-season potatoes with unique advantages in Yunnan. Efforts should be continuously made to promote potato as a staple food from the aspects of variety cultivation, processing innovation and consumption guidance, so as to reduce the consumption pressure and external dependence of rice and wheat[18]. The third is to increase the cultivation and support of new agricultural business entities such as large planters, agricultural cooperatives, and family farms, innovate the mechanism for connecting interests, further improve the organization of grain production, support the development of new retail models such as e-commerce, and effectively solve the problem of small households connecting to the big market[19]. The fourth is to back up in-depth excavation and inheritance of the essence of traditional farming culture and national culture of China, integrate and innovate modern scientific and technological achievements, expand multi-functionality, develop circular economy, and integrate and promote the application of diversified comprehensive planting and breeding technology models, thus improving the comprehensive benefits of the food industry.

Focus on agricultural investment and storage and transportation systems, and strengthen resource control capabilities

Further expanding agricultural "going global"

First, it should combine the construction of the radiation center to give full play to the science and technology advantages of Yunnan agriculture, and strengthen exchanges and cooperation in the field of agricultural science and technology to promote the construction of China as the agricultural science and technology radiation center for South Asia and Southeast Asia[20]. On the one hand, a variety of methods should be made use of to strengthen the introduction and exchange of excellent food-based resources to enrich the agricultural germplasm resources in Yunnan, thus providing a solid material foundation for the development of modern seed industry with plateau characteristics and modern agricultural industry[21]. On the other hand, foundation should be laid on scientific research units to continue the support for the demonstration parks of modern agricultural science and technology in Cambodia, Laos and Myanmar, increase efforts to carry out research and development and demonstration of fine varieties, training of agricultural technicians, agricultural production materials and agricultural machinery services, and popularize new high-quality and high-yield varieties and the supporting cultivation techniques of important agricultural products such as grains, sugarcane, rubber and sericulture, thereby improving the efficiency of local agricultural production[22]. Second, it should combine the agricultural "going global" strategy and the overseas opium poppy alternative cultivation strategy of China to strengthen the agricultural economic cooperation with the countries in the Indo-China Peninsula, especially the neighboring countries, mainly on food, and actively promote the agricultural "going global" strategy. On the one hand, it is necessary to further vigorously support "going global" enterprises to build production bases for important agricultural products such as grain, rubber, sugar cane, and sericulture; on the other hand, it should back up the efforts of large and medium-size state-owned enterprise and strong private enterprises made to enlarge overseas agricultural investment,  strengthen the construction of production, processing, storage and transportation facilities for grain, rubber and sugarcane, and carry out various transnational operation forms of the production, processing and storage of agricultural agricultural products. Moreover, direct transportation channels for important agricultural products should be formulated based on the transport networks inside and outside Yunnan as well as the 3 integrated multidimensional transportation channels for  Myanmar ( Kyaukpyu Port-Mandalay-Ruili-Kunming), Thailand (Bangkok-Laos Vientiane-Mohan-Kunming), Cambodia (Phnom Penh-Vietnam Hekou-Kunming), which are under construction, so as to improve the ability to control the important oversea agricultural products such as grain and rubber[23].

Further strengthening border processing logistics industry

First, in response to the construction of the China (Yunnan) Pilot Free Trade Zone, it should improve the infrastructure and build agricultural industry parks of different levels and scales based on the foundation, characteristics and advantages of the opening-up and cooperation of the border areas with foreign countries, while standardizing, guiding and expanding the border trade and general goods trade[24]. The second is to intensify efforts to foster the construction of processing and trading enterprises engaged in the cultivation of grains and major agricultural products, and strive to enhance the market competitiveness of leading enterprises that use grain as the resources through preferential policies and measures like increasing credit support, improving financing channels, providing technological innovation capabilities, enhancing profit distribution mechanisms, and improving industrial systems. Third, based on the various border economic cooperation zones, cross-border economic cooperation zones for grain and major agricultural products storage as well as logistics bases and grain import and export processing bases, it should actively develop grain trade with neighboring countries, and gradually improve the processing, transformation, storage and transportation capabilities of grain and other important agricultural products through processing  imported materials, processing supplied materials, assembly trade, re-exports of bonded zone warehousing and trade in inbound and outbound goods.[25]

Further optimizing trading environment of agricultural products

First, it should improve the financial support for "alternative planting" and the policy and measures for buy-back products, enhance policy implementation, strengthen the overall coordination among departments, improve the efficiency of government management services, and provide support for the cultivation of integrated talents in foreign investment as well as overseas investment risk assessment services. The second is to actively seek the support of relevant national grain trade policies. According to the international food security situation, the domestic grain supply and demand relationship in China, and the surrounding economic and social situation, Yunnan should be treated differently for both its geographical advantages and its gap between production and demand, and thus the grain import trade quota for Yunnan could be increased to optimize the grain supply structure of China. The third is to strengthen the international coordination of grain import and export policies and improve the international grain production and trade cooperation mechanism. Under the China-Lancang-Mekong cooperation framework, on the one hand, cooperation and communication with neighboring countries should be strengthened. The grain import ports of the 7 countries along Yunnan should be made good use of to promote raw grain import and export agreements with neighboring countries, so that the grain sources of neighboring countries can be used as an important supplementary control method for the balance of total grain volume in the southwestern regions and even the whole area of China through supporting and encouraging grain enterprises to import raw grain from surrounding countries through normal channels under the premise of posing no danger to Chinas grain and agricultural interests. On the other hand, regular international grain trade fairs can be held to promote direct communication between the grain enterprises in Yunnan and enterprises in neighboring countries, and visits and inspection for these countries can be organized for the grain enterprises from time to time. The fourth is to enhance the legal protection of international grain production and trade. On the one hand, it should continue to increase its crackdown on grain smuggling; on the other hand, it should strengthen cooperation with neighboring countries in combating smuggling, and actively carry out the construction of Chinas oversea investment and trade credit system.

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