A Research On Modern Construction Of A Circulation System Of Commodities In Rural Areas Of Anhui Province

Because of a strong seasonal and regional of agricultural production, there are prominent space-time conflicts between production and consumption which is difficult to overcome within the small circulation and primary market. The famous "cobweb theorem" in economics reveals the cyclical shocks which the wrong time brings to the agricultural production. To get out of such trouble, it is necessary to develop large circulation, to establish and improve the modern market system in which spot market and future market integrated and to establish a smooth rural commodity circulation system.Rural commodity circulation system is the bridge and link which connect urban and rural areas, production and demand. To establish a modern system of commodities in rural areas is an objective requirement of building high-efficiency agriculture and improving social service system. Therefore, the reform of commodities in rural areas under the new situation is an important measure to resolve "three rural" issue, deepen the comprehensive rural reform and develop rural economics. Modern system of commodities in rural areas will play a great role in building a new socialist countryside in China.Anhui is a major agricultural province, which has always been a pioneer in agricultural issues. It was the birthplace of the household contract responsibility system and in the lead in a rural tax and fee reform. In 2005, Anhui became the first pilot of the circulation reform and market building. Anhui has been highly conscious of the tremendous influence which a modern system of commodities in rural areas brings to the development of rural economy. The government issued an file of NO.93 and selected 67 counties and 89 enterprises as a pilot reform. This reform was generally regarded as the "third wave" which again originated in Anhui.One of the reasons of backward rural economy is the underdevelopment of the market. The cultivation of commodity circulation system and the level of construction is the major indicator of measuring the degree of market development. But on the whole, commodities in rural areas in Anhui are still in their own economic status and lack of rational planning and market management mechanism. The existing system of commodities in rural areas can not play a lead agricultural development and increase farmers' incomes. And also it is unable to meet the needs of urban residents for the agricultural products. Otherwise it increases the cost of agricultural production and the difficulties of circulation, and long-term perspective is bound to affect the rural economy of the sustained and healthy development. The problems of Anhui rural commodity circulation reflect a common phenomenon which underdeveloped rural commodity circulation system has. For a long time because of the urban-rural dual economic structure of the constraints and some traditional thinking, rural commodity circulation system is in a serious shortage of inputs. It is not adapt to the development of national economy and the increasing needs of agricultural products, means of agricultural production and daily consumer goods.The current reform of commodities in rural areas should begin with urban and rural integration and rational allocation of resources. What we should do is to speed up the building of modern commercial outlets in rural areas and to improve the farmers' level of consumption. So it is important to establish rural circulation system which meet the modern needs of the retail development so that it can sell the agricultural products smoothly and buy the means of agricultural production and daily consumer goods conveniently. This paper has five parts. On the base of theoretical analysis, the author compares the characteristics on rural commodity circulation in western countries and sums up the successes that we can draw on the experience. And then the status and problems are analyzed which have in rural commodity circulation system of Anhui province. The author also recommends the modern ways and means for Anhui province and even the whole nation of building the modern system of commodities in rural areas in order to eventually promote the level of agriculture, to increase the income of farmers' and the development of rural economic of Anhui province.