Factors Affecting Agricultural Value Chain Financing

Capital investment needs of the economy, especially in rural economic development. In rural areas of China, enterprises, farmers in the production process is still faced with the problem of financing. Agricultural financing difficulties hampered China’s rural economic development, but also hinder China’s economic reform process. In the modern economic structure, finance is one of the core areas, to improve the ability of financial services in rural areas will become cracked core farmers problems. With the industrialization of agriculture development, value chain financing theory also will rise, for the financing of agricultural research provides a new perspective. Agricultural value chain financing through the integrated use of internal financing and external financing, with its unique operating mechanism, to a certain extent, solve the problem of information asymmetry faced by agricultural financing process, but also effectively reduce the transaction costs of rural financial transactions effective path of institutional innovation. Today, people use the agricultural value chain financing approach to solve stubborn problems of agricultural finance has great enthusiasm. However, not among all participants in the value chain have undergone successful financing transactions, some have had a successful transaction value chain also failed to continue running. Only recognize what factors affect the normal operation of the agricultural value chain financing in order to make the financing model of rural financial environment with a better combination, sustained and effective for rural economic development.The circulation of agricultural products from producers to consumers within the cluster activities involving financial and non-financial sector, value chain analysis is the analysis of how to organize these activities so that the economic development of a method to obtain improved. In this paper, theoretical results and to draw up the value chain and value chain financing related to a number of experts and scholars at home and abroad, the use of value chain analysis of the value chain financing case studies were obtained internal factors of agricultural value chain financing and external financing and so propose appropriate countermeasures.