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Open a Company in Agriculture in China

Open a Company in Agriculture in China

China has recently changed the land legislation, allowing foreign investments in large-scale farming. The Chinese government provides several economic incentives for businessmen who want to open a company in agriculture in China. The village collectives are now able to transfer their land to a Chinese corporation, in return for yearly payments. This reform is meant to produce enough food for the world`s largest population. Detailed information about company formation can be offered to you by our lawyers in China.

How to start a company in China`s agriculture?

If you decided to start a company in China`s agriculture, there are a few steps to take into consideration:
• Make sure you are informed about the state of the industry – the Chinese government publishes the five-year plan, which contains details about the country`s economic sectors. Relying on the services of a local law firm can be very helpful in this situation;
• Choose a location for your company – the major agricultural areas of the country are the most recommended destinations for business success;
• Decide on the type of company you want to set up – joint ventures and foreign owned companies are the most popular business ventures in China;
• Prepare the documents and register your agricultural company with the State Administration for Industry and Commerce of the People`s Republic of China;
Our Chinese law firm can assist you with the entire legal procedure of setting up an agricultural company in this country.

Features of agricultural sector in China

A lot of investment opportunities present themselves to foreign businessmen interested in China`s economy. If you want to open a company in China`s agriculture, there are many options available: organic cultures, livestock production or agricultural processing. There are a few steps to consider if you want to start an agricultural company in China:
• The agricultural system in China combines centralized and decentralized management of business;
• The Chinese peasants are granted long-term land use rights;
• Your company has to contract land in rural areas from the peasants, without acquiring property rights over the land;
• No contracted land can be used for non-agricultural purposes;
• You can engage in cooperative agricultural production by joining your contractual rights over land with other companies.

If you need certified expertise in starting an agricultural company in China, don`t hesitate to contact our attorneys in China.