Analysis Of Concentrated Apple Juice Industry In Gansu Province

China is the world's leading apple producer,and has an absolute advantage in both apple acreage and yield. As one of the characteristics of agricultural products in Gansu Province, Apple play an important role in increasing people's income levels.And as the main products of Apple.The development of the Concentrated apple juice will have a direct bearing on the process of agricultural modernization. A bigger and stronger Apple juice concentrate industry means that the deepening division of labor within the industry, which is an important part of modern economic development,because we will be able to increase value-added products and optimize the allocation factor. The concentrated apple juice in China is mainly for export.While in China the concentrated apple juice is one dominant type of agricultural products in international market,but its development has not been so easy,such as protectionist policies of green trade barriers the local apple juice concentrate exporters.Partly it is due to the government protection from foreign apple juice concentrate producers and farmers,also it is because of pesticide residues,lacking of dedicated processing apple,shoddy and other domestic factors of our own.In addition,price war have brought great losses for apple juice concentrate industry in China,which is harmful to the healthy development of the industry. Except the common factors in both subject to the above, Gansu Province also has its own unique disadvantages.It pays more attention to varieties of species of fresh apple.And Local enterprises concentrated apple juice, lags far behind Apple in Shaanxi Province and other major producing provinces both in quantity and quality.In the shape apple juice industry performed as interaction of the whole industry chain.This article focuses on the perspective of the whole industry chain,and grasps the development of the industry based on microscopic analysis.The analysing of the farmers,apple juice concentrate business and importer starts from the behavioral logic that the pursuit of greater benefits and avoid the transaction costs.This behavior shows as changes of the boundaries and internal structure.In order to gain more income,system actors not only adapt to the present system of rules but also seek to change the system,which lead toSpontaneous evolution of the institution. And the industries developes under this symbiosis. Government intervention is not conducive to apple juice concentrate industry's healthy development,and it often distort or prevent adjustment of economic behavior.Based on the model of the changes in the industry, in this paper, we use case studies, comparative analysis, and integrate normative analysis and empirical analysis. This paper draws the following conclusions.(1) The government's long-term supporting policies restricts the concentrated apple juice industry's spontaneous adjustment,inhibites the transformation of fresh fruit to processed fruit,inhibites the enterprise's enthusiasm to actively respond to trade war,and inhibites the healthy development of our province's apple juice concentrate industry.(2) The reason of Gansu Province's farmers do not want to develop high acidity apple lies in factors such as asset specificity, path dependence and herd mentality.The reason of Gansu Province's Apple juice concentrate business do not want to expand the cultivation of raw materials lies in factors such as division of labor and specialization, short-term orientation and supervision difficulties when running on their own raw material.Inappropriate policy interventions strengthen these factors.Only the fierce market competition can motivate farmers and concentrated apple juice companies to take the initiative and change.(3) Because of the bounded rationality and public expectations, policy intervention often does not work. Especially the frequent changes in policy impede the mature of the fruit farmers, inhibit the possibility that farmers explore other directions,and lead to a sub-optimal allocation of resources.So policy interventions should be minimized,and make it as a single and stable one.