Related Story:Tax exemption basis for changeChina's top lawmakers
yesterday abolished the country's 2,600-year-old agricultural tax starting
January 1 as part of national efforts to provide more support for farmers and
narrow the income gap between urban and rural residents.
Wan Baorui,
vice chairman of the Agriculture and Rural Affairs Committee of the National
People's Congress, said the abolition of the tax ushers in a new era in which
the industrial sector will subsidize agriculture.
Agriculture
contributed 13.1 percent of the nation's gross domestic product in 2004,
industry contributed 46.2 percent, and the service sector provided 40.7 percent.
The agricultural levy ¡ª China's oldest tax ¡ª began in 594 BC. Given the
country's predominately agrarian society, the tax was China's main source of
fiscal revenues for more than 2,000 years.
Since the founding of the
People's Republic of China in 1949, agriculture has made great contributions to
the country's economic development, officials said.
But in recent years,
the economy has shifted its focus from the countryside to the cities, and income
gaps have widened between urban and rural residents.
In 2005, the
Chinese government and the Central Committee of the Communist Party of China
pledged to ensure a "new countryside" and narrow the wealth gap between the
cities and the hinterlands.
China has set major tasks for its rural
development in the 11th Five-Year Program (2006-2010) at a central work meeting
closed in Beijing yesterday.
China's agriculture and countryside, still
at the stage of mountain climbing, remain the weakest part of the national
economy, said the meeting.
The government would spend more on the
development of its agriculture and countryside including boosting infrastructure
construction, it said.
More efforts would be paid to push forward a
comprehensive reform in the rural areas, according to the meeting.
Steady improvement of grain production and ensuring the safety of
nation's food supply are another important task for the country's rural
development.
The rural land management policy would be maintained and
the use of farmland would be strictly controlled, so as to guarantee the
development of agriculture and the stability in the countryside.
The
meeting said farmer-turned migrant workers would be channeled off orderly to
find jobs and be treated fairly in urban areas. Efforts would also be paid to
develop economy of counties which would draw more farmer-turned workers.
China would continue to invest more in education and medical service in
the countryside to improve public service there, said the meeting.