The third part of the Decision explains how to advance reform and innovation and accelerate rural system construction. It mainly elaborates the construction of six systems. First we should stabilize and improve the basic management system in rural areas, for example, stabilizing the dual operational system based on the household contract system and the combination of centralization and decentralization. It is the cornerstone of our Party's rural policy and must be adhered to resolutely. The existing land contract relationship must be stabilized and remain unchanged. In addition, two shifts and one development should be boosted. The household-based operations should shift toward adopting advanced technologies and production means and become more intensive. The operational model should shift toward cooperation of rural households to build a diversified and multi-level operational service system. One development means supporting the faster development of farmers' special cooperatives and turning them into modern agricultural operational organizations that are able to lead farmers to compete in both domestic and international markets. Second, we should strictly standardize the rural land management system by implementing two most stringent systems and building two markets. A most rigorous system of arable land protection must be insisted on. We must resolutely keep the alarm line of no less than 180 million mu of arable land and ensure the basic farmland aggregate does not decrease and quality increases. A strict land-saving system must be implemented. We should establish and improve the market of land contract and management right transfer and allow farmers to transfer their land contract and management right in various forms of subcontract, leasing, exchange, transfer and shareholding cooperation legally and voluntarily with compensation and develop diversified moderate-scale operation. We should gradually develop a unified rural and urban land market for construction purpose. Third, we should improve the agricultural autonomy protection mechanism. Three systems should be built. First is to establish the agricultural input system to increase agricultural investment; second is to improve the agricultural subsidy system to raise subsidy; third is to build the farm product price protection system to steadily raise the minimum procurement price of grain. Fourth, we should build a modern rural financial system. Efforts should be made to renovate the rural financial system, relax the rural financial access system and improve rural financial services. Fifth, we should build the system of integrated rural and urban economic and social development. Quick breakthroughs must be made in terms of urban and rural planning, industrial layout, infrastructure construction and public services. It is important to promote the balanced allocation of public resources in the rural and urban areas so as to facilitate the free flow of production factors in them. Sixth, we should improve the rural democratic management system, including strengthening the construction of the rural grassroots governance system. It is made clear that the institutional reform of township-level governments should be completed basically by 2010 and the social management and public service functions of township-level governments should be strengthened. A vigorous villagers' self-governance system led by village-level Party sub-committees should be built and democratic election, decision-making, management and supervision be reinforced. Rural legal framework should be advanced, laws and regulations concerning rural areas be improved, the capacity of governance in line with the law be enhanced and law enforcement and judicial protection intensified.

The fourth part of the Decision is about developing modern agriculture and increasing the comprehensive agricultural productivity. There are seven points in this part, including ensuring food security, readjusting agricultural structure, accelerating agricultural technological innovation, strengthening agricultural infrastructure construction, building a new type of agricultural service system, promoting sustainable development of agriculture and expanding agricultural opening.

The fifth part of the Decision focuses on accelerating the development of public welfare and promoting the all-round progress of rural areas. There are eight points in this part, including promoting the prosperity of rural culture, improving education, healthcare, social security, infrastructure construction and environmental protection, enhancing poverty alleviation, building capacity of disaster prevention and relief and reinforcing social management in rural areas.

The sixth part of the Decision calls for strengthening and improving the leadership of the CPC so as to provide strong political guarantees for rural reform and development. There are five points in this part, including improving the mechanism and system of CPC's leadership of the rural undertaking, strengthening the rural grassroots construction, enhancing grassroots leaders' capacity, raising the quality of rural Party members and stepping up efforts to improve Party members' style of work and uphold integrity.

Huang then answered questions of journalists.

The rural land transfer market has existed legally for 20 years, but only 5 percent of land has been transferred. Could you confirm the authenticity of this figure? Why only such a small proportion of land enters into the transfer market? What benefit does land transfer bring about to improving the livelihood of farmers? What measures is the Chinese Government adopting to develop such a market?

The rural land operational right transfer is advocated by the government and protected by law. I am not clear about the specific proportion. But I know the number is not very big. An important reason is related with the agricultural return. When the return is low, especially for small farmers, the contract-undertaking parties might be reluctant to manage their land but choose working in cities. If other farmers do not want to contract their land either, the transfer proportion will be relatively low. As far as I know, the land contracted by farmers who have stable jobs has been transferred completely, but this part of land is not incorporated into the 5 percent you mentioned. For example, you find a job in cities and transfer your land to your brothers or father. This land actually is transferred, but it is not included in the proportion because it is not registered officially. Land transfer is beneficial to farmers. It promotes reasonable utilization of land resources. To build a standardized land contract right transfer market, we will be able to increase the transfer price that will help raise the income of farmers by transferring their land. In order to build such a market, the government needs to confirm the land contract and management right of farmers and issue certificates to them. The Ministry of Agriculture has developed the rules on the management of land transfer to protect the rights and interests of farmers.