Effects Of Foreign Direct Investment On China's Agricultural Industry Security-Mechanism, Empirical And Case Study

Agricultural industry security is the foundation of national economic security. China is among the countries with a higher degree of openness of agriculture and agro-products. As the extent of foreign capital's participation expands, the security of agriculture will face greater challenge. The research of effects of foreign capital on China's agricultural industry security is of guiding significance to reasonably assess the utilization efficiency and develop foreign investment attraction policies of agriculture.This thesis combines qualitative analysis with quantitative analysis, and complementarily uses empirical study and case study, to investigate in depth the mechanism, effects and path of foreign direct investment affecting China's agricultural industry security. In the assessment of agricultural industry security and the empirical study of its indicators, DEA, factor analysis, entropy measure, fuzzy comprehensive evaluation method and other statistical methods are taken to compensate the flaw of subjectivity of traditional methods.Firstly, a summary and review of domestic and foreign research on foreign capital and China's agricultural industry is carried out. This thesis defines the content of agricultural industry security referring to the previous views. Then it briefly introduces the development status of China's agricultural foreign direct investment, and analyses the channels through which foreign direct investment affects China's agricultural industry security. Next, an indicator system of the evaluation of China's agricultural industry security is built. On this basis, this thesis empirically analyses the effects of foreign direct investment on China's agricultural industry security. Finally this thesis selects the soybean industry for a case study. From the perspective of industry chain, this thesis analyses the effects of foreign multinational companies on China's agricultural industry security.Following conclusions can be drawn in this thesis:(1) It's necessary to study agricultural industry security from the perspective of the security of the entire agricultural chain. Agricultural industry security includes three aspects:sustainable development ability, international competitiveness and industrial control. (2) Foreign direct investment mainly affects agricultural industry security through capital extrusion, technological control, trade dependence, environmental destruction and resource robbery. (3) Empirical results suggest that foreign direct investment has an insignificant positive effect on China's agricultural sustainable development ability, a significant negative effect on China's agricultural international competitiveness. (4) Using various strategies, foreign multinational companies dragged China's soybean industry to the brink of danger.