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Major practice and inspirations from the development of "sixth-sector industrialization" in Japan (No 44, 2015)

May 12,2015

Cheng Yu, Research Department of Rural Economy of DRC

Research Report No 44, 2015 (Total 4729)

Abstract:

Japan raised the development concept of "sixth-sector industrialization" against the background that farmers had difficulties in finding jobs and increasing income. Since the implementation of "Sixth-sector Industrialization and Local Production for Local Consumption" in 2010, Japan has comprehensively promoted the strategy of "sixth-sector industrialization", aiming at increasing farmers' income, agriculture's competiveness and rural economic vitality. In order to effectively carry out the strategy of "sixth-sector industrialization", Japan's government established relevant organizations from central government's level down to grassroots units, with the support of four major plans and three main funds. The four major plans are "cooperation plan among agriculture, industry and business", "comprehensive business plan", “promotion plan of local production for local consumption" and “innovation plan for agricultural technology" and the three main funds consist of policy subsidy, loan with low interest and "growth fund for the industrialization of agriculture, forestry and fishery". China should draw related experience from Japan in order to promote the integrated development of the primary, secondary and tertiary industries. Efforts should be made to increase the agricultural management entities' ability for an integrated utilization of resources and their involvement in agriculture, industry and business integration management through capacity building and policy support in terms of knowledge, technology, capital, facility and network.