The Chinese government will give top priority to agriculture,rural areas and farmers in terms of expenditures in the central budget for this year,Finance Minister Jin Renqing said at the national legislature's annual session Saturday.Total expenditures will increase by more than 30billion yuan,or 20percent over last year,to address the problems facing agriculture,rural areas and farmers,Jin said in a budget report.

Except for tobacco,the tax on special agricultural products will be rescinded in 2004and the overall agricultural tax rate will be reduced by over 1percentage point,with a greater reduction for major grain producing areas and grain producers,reducing the burden on farmers by as much as 11.8billion yuan.

Agricultural taxes will be rescinded in five years,he said.

Funds totaling 39.6billion yuan in the form of transfer payments from the 2004central budget will be set aside for the reform of taxes and administrative charges in rural areas,a year-on-year increase of 9.1billion yuan.

At the same time,10billion yuan from the grain risk fund willbe given directly to grain producers in 13major grain producing provinces this year as subsidies,and more budgetary funds will beused to develop agricultural infrastructure,development forests for ecological conservation,make advanced in agricultural scienceand technology,train farmers,provide relief for agricultural disasters and fight poverty.

"Investment will be increased for employment work and social security,"the minister said.

This year,the government plans to increase reemployment assistance funds by 3.6billion yuan,76.6percent more than last year,to promote employment and reemployment.

The government will also allocate 77.9billion yuan from the 2004central budget to guarantee that living allowances for workers laid off from state-owned enterprises and basic old-age pensions for retirees from these enterprises are paid on time and in full and ensure that low-income urban residents receive their subsistence allowances.

A total of 17billion yuan will be allocated in subsidies for enterprises that close down or go bankrupt in order to promote economic restructuring,the minister said.

As a move to boost development of in the fields of education,health,science and technology,culture and sports,the governmentplans to allocate 95.5billion yuan from the 2004central budget,a year-on-year increase of 10billion yuan,with priority mainly given to rural areas.