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Investment in Rural China-R&D

China's agricultural research system expanded rapidly during the past four decades and is now one of the largest public systems in the world. It employs more than 60,000 senior scientists and, in 1997, spent 2.7 billion RMB (at 1990 prices) on research conducted at national, provincial, and prefectural research institutes and agricultural universities. In the early 1990s, the Chinese system accounted for over 40 percent of the less-developed world's agricultural researchers and 35 percent of its total research expenditure. However, the Chinese agricultural research system has experienced many ups and downs over recent decades. Right after the foundation of the new China in 1949, China's investment in agricultural research was minimal, but it grew rapidly until 1960 (Figure 1). The growth in the 1960s was relatively small due to a three-year natural disaster (1959－1961) and the Cultural Revolution (1966－1976). Investment increased steadily during the 1970s, but this growth slowed down during the 1980s, and grew only by 23 percent during the entire ten-year period. In the 1990s, agricultural research expenditure began to rise again, largely due to government efforts at boosting grain production through science and technology.

Figure 1. Public Investment in Rural China

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