Agriculture:

Agriculture is the foundation of the national economy, people's livelihood, and belongs to the weak cyclical sectors; the proportion of agricultural GDP and the number of employees are declining year after year; agricultural products have cyclical characteristics, vulnerable to the impact of natural disasters; produces supply is elastic in long term and less elastic in short term;also the price elasticity of demand and the income elasticity of demand are small.

Factors that influence agricultural development include: demographic factors, natural resources, natural disasters, national policies, and international competition. It has been the most important mission for China's agriculture industry to feed China's huge population; natural resources (land resources, climate resources and water resources) are important factors of agricultural production; agricultural products prices and agricultural subsidies are positively supporting this industry in the long term.

 

Forestry:
Forestry industry is a fundamental, raw material-based industry, its leading products, such as building materials, wood-based panels, wood pulp and paper products, furniture, rosin and so on are important and indispensable materials to the national economic development and people's lives; forestry industry also has ecological benefits, social benefits and economic benefits, thus is crucial in economic development, in improving the ecological environment, in promoting regional economic development and in addressing the farmers' employment problems. Forestry processing industry, particularly the wood-based panel industry is a labor-intensive business the prosperity of which is a significant solution to current unemployment. It is estimated that forestry industry provides nearly 8 to 10million jobs each year.
As a fundamental raw-material based industry, forestry has a long growing cycle and faces the scarcity of resources; a tension in wood supply and demand would further push up timber prices, while the reform of forest rights will revitalize this industry.

 

Animal Husbandry:

Two sub-sectors are included in animal husbandry: feedstuff industry and breeding industry. Feedstuff industry is an important link between crops farming industry and breeding industry; in recent years, the rapid expansion of production capacity has put feedstuff industry into a mature state of fierce product-homogenized competition with very low profit margin across the industry, and is vulnerable to the fluctuations from upstream crops farming industry and downstream breeding industry. Feedstuff enterprises' downward integration of breeding industry not only can reduce business risk, but also leads to higher industrial chain profits by establishing their own brands and differentiating the end-products.

Animal husbandry has long production cycle, and has entry time barrier and high cost exit barrier, likely causing large fluctuation in the industry; feedstuff industry is highly competitive, low in industry concentration and profit margin; breeding industry is low in the level of large-scale farming.

 

Fisheries:

China's output of aquatic products ranks no.1 in the world. The near-saturation of marine catch and seafood scarcity jact up the prices; aquatic production growth mainly relies on artificial breeding.

As the international community further strengthens the protection for environment, fishery resources, and especially for high seas fisheries resources by means of international cooperation, marine fisheries have limited production growth; according to the FAO report, currently major marine fish stocks are fully exploited, the future growth in the number of aquatic products mainly relies on artificial breeding. Therefore China has determined that the strategic focus for marine fisheries is aquaculture and deep processing of aquatic products, and has developed the fishery industry restructuring concepts of "compressing offshore fishing, focusing on aquaculture development, and expanding fish processing". The "National Marine Economy Development Plan" sets direction for the development of marine fisheries: to actively promote the strategic adjustment of fisheries and the economic structure of fishing areas, to enhance the transformation from traditional to modern fishery, and to achieve the change from quantity-oriented fishery to quality-oriented fishery.