Agricultural products are necessities for human life and production. It is an important commodity for the livelihood of the people, and its production and circulation is an important factor for a country’s economic development and social stability in any county.However, at present, China’s agricultural products circulation system has many problems,such us agricultural products production too scattered, the circulation infrastructure imperfect, low degree of specialization of logistics and professional circulation, and the absence of supervision system. These issues seriously hinder the cause of China’s agricultural modernization, and influence China’s economic development and social stability. On the background of new urbanization, the summary of experiences and lessons of traditional urbanization, and the proposal of scientific way for urbanization, is a great opportunity for China’s agricultural products circulation system.This paper analyzes the problems of traditional urbanization and the scientific connotation of new urbanization, summarizes the current situation and problems of China’s agricultural products circulation system. The circulation efficiency, circulation velocity and circulation scale are important indexes to evaluate the circulation system of agricultural products. On the basis of the previous research, the paper select some indexes that have positive effect on the circulation efficiency, circulation velocity and circulation scale of agricultural product, and then analyses the relationship between new urbanization and these indexes through the method of Grainger causality test. It is considered that the urbanization rate is a Grainger causality for the total assets turnover rate, the current assets turnover rate, the fixed assets turnover rate of agricultural products wholesale and retail industry.Finally, according to above discussion, the paper puts forward several constructive suggestions for China’s agricultural products circulation system. It should protect farmland,strengthen the agricultural organization management, improve agricultural circulation infrastructure construction, reduce the link of circulation to improve the production efficiency, and improve the degree of specialization of agricultural products logistics enterprises to improve the circulation system of agricultural products. |