Legal Research On Family Farm Financing In China

As one of the new agricultural producers, family farm needs to be supported by our country in many aspects, in which financial support is an important one. From the perspective of family farm financing, the article analyzes the plight of family farm financing deeply. Then, on the base of the legal system and practice at home and abroad, the article puts forward a number of proposals and legal protections on family farm financing. Except the preface and the end, the article is divided into four parts.The first part is the basic theory of family farm financing. Firstly, the article defines the concept of family farm and its characteristics(refers to family features, moderate scale and market-oriented). Secondly, the article summarizes the concept of the family farm financing and financing necessity for family farms and other concepts as well. Thirdly, the article analyzes two theories to demonstrate the legal support to family farm financing, and they are protection to agriculture weak industry theory and theory of equity finance.The second part is the quo of the family farm financing and related legal analyses. In the first half section, take Zhejiang province for example to introduce the financing needs of family farm and practical difficulties. Then the article summarizes the practice of family farms in Zhejiang to solve the financing difficulties, such as innovation of land contractual management mortgage, insurance of family farm financing and credit loans. The latter part, from a legal perspective, analyzes the current financing situation of the family farm and our country financing practices. Faced with financial difficulties, the article summarizes the shortage of existing laws, including the unclear legal status of family farms, shortage of incentive and constraints of agricultural credit laws, legal obstacles to mortgage financing of land, and lack of family farm credit rating.The third part is the introduction the legal system of family farm financing in the United States, Canada, and Japan. The revelation of foreign financing practice to our country is that effective legislative protection, well-developed financial cooperation, strong government support, and the perfect legal system of guarantee.The fourth part is the advice to improve the legal system of the family farm financing. In view of the problems in the second part, and foreign experiences in the third part, the article proposes some countermeasures to solve the financing problems of family farms. Countermeasures are as follow: Firstly, solve the problem of the independent legal status of family farm, define the access and management of family farm. Secondly, complete the legal system of agricultural credit, strengthen financial cooperation, and optimize commercial finance to agriculture and new rural financial organizations, designing government lending system. Thirdly, improve rural financial credit guarantee system, including land rights of management mortgages, credit rating mechanism to the family farm,building a security measure system such as financing insurance.