Strategy review: a series of reports on Rural Revitalization (II): breaking a new road in Guizhou

New progress has been made in "common prosperity" and "Rural Revitalization". The "two sessions" and the "430" Politburo meeting in March 2021 clearly mentioned the development goal of "common prosperity". Then in June 2021, the "opinions on supporting Zhejiang's high-quality development and building a demonstration area of common prosperity" was issued. At the 10th meeting of the central financial and Economic Commission on August 17, 2021, it was pointed out that "common prosperity is the essential requirement of socialism". On January 26, 2022, the State Council issued the opinions on supporting Guizhou to explore new roads in the western development in the new era (hereinafter referred to as the opinions). The opinions set two important time points in 2025 and 2035, which are consistent with the two-stage development goals of "common prosperity" and "rural revitalization", It is required that "by 2025, significant progress will be made in the comprehensive reform of the western development, Rural Revitalization will be promoted in an all-round way, and the income of urban and rural residents will increase steadily... By 2035, economic strength will move to a new level, keep pace with the whole country, and basically realize socialist modernization".

In 2022, "Rural Revitalization" has great prospects. As the first policy document on regional development in 2022, the opinions is of great policy significance. Compared with the national average level, the economic development of Guizhou province lags behind. According to the GDP ranking in 2020, Guizhou Province ranks 20th in the country, and according to the per capita GDP ranking, Guizhou Province ranks 27th, and the urbanization level is low, There are 20.4959 million permanent urban residents in the province, and the urbanization rate is 53.15%, 10.74 percentage points lower than the national level. This is in contrast with Zhejiang Province, which was previously regarded as the "demonstration area of common prosperity". Taking Guizhou Province as the sample of "breaking a new road in the western development", it provides two types of pilot scheme temsectors for provinces and cities to promote "common prosperity". We have repeatedly discussed our views in the annual strategy "victory in the end" and the special report "series of reports on Rural Revitalization (I): great prospects for 2022": under the policy tone of "stable growth" in 2022, "common prosperity" and "Rural Revitalization" are not only the long-term vision, but also in line with the short-term goals, with strong certainty. The ninth chapter of the opinions clearly will strengthen policy support, improve the implementation mechanism, and give strong support to the reform and development of Guizhou. The national development and Reform Commission should strengthen the follow-up evaluation of the implementation of the opinions, showing the certainty of the policy.

Industrial prosperity and ecological civilization construction are equally important, and the promotion of factor marketization reform will burst into greater potential. The opinion proposes to accelerate the reform of market-oriented allocation of factors, promote the establishment and improvement of a unified urban-rural construction land market in Guizhou, steadily and orderly promote the entry of rural collective operating construction land into the market, and accelerate the establishment of property right transfer and value-added income distribution system. Meitan County, one of the 33 pilot counties in Guizhou Province, is the first to pilot the entry of rural collective operating construction land into the market, The first auction of collectively operated construction land was also realized in 2015, which will further become the driver of rural economic development in the future. The contents of "Rural Revitalization" and new urbanization in the "opinions" coincide with the "industrial prosperity and ecological livability is an important starting point, and the county is the center" summarized in our report: the connotation of industrial prosperity is two aspects. On the one hand, it is to improve the value-added rate of primary industry, On the other hand, let rural residents participate in more value-added links to obtain value-added benefits, that is, to promote the development of rural secondary and tertiary industries. For Guizhou, the main ways of the former include: (1) optimizing cultivated land protection and centralized connection, and accelerating the popularization of modern seed industry and advantageous crops; (2) Promote the use of small agricultural machinery in mountainous areas, and promote the mechanized transformation of farmland in Hilly and mountainous areas; (3) Promote the greening, standardization, scale and branding of Shenzhen Agricultural Products Group Co.Ltd(000061) ; The latter mainly advocates "one village, one product" by creating brand effect

Investment suggestion: it must include the overall judgment of the industry in the next half a year to one year, and the recommended subject matter shall be deduced according to the overall judgment.

Risk tips: risk tips must be included and targeted to avoid generality.

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