Whole-Process Agricultural Production Chain Management and Land Productivity: Evidence from Rural China

As agricultural labor shifted toward non-farm sectors and the farming population aged, innovative production arrangements became essential to sustain land productivity. While partial agricultural production chain management (PAPM) was widespread, the productivity impact of whole-process agricultural production chain management (WAPM)—a comprehensive model integrating all production stages—remained empirically underexplored. Using nationally representative panel data from the China Labor-force Dynamics Survey (CLDS, 2014–2018) for grain-producing households, this study estimates the differential impacts of WAPM and PAPM with a two-way fixed-effects (TWFE) model, supplemented by propensity score matching (PSM) as a robustness check. The results show that WAPM significantly enhanced land productivity. Notably, the effect size of WAPM (coefficient: 0.486) is substantially larger than that of PAPM (coefficient: 0.214), indicating that systematic integration of service chains offers superior efficiency gains over fragmented outsourcing. Mechanism analysis suggests that WAPM improves productivity primarily by alleviating labor constraints and mitigating the disadvantages of small-scale farming. Furthermore, heterogeneity analysis demonstrated that these benefits are amplified in major grain-producing regions and hilly areas. These findings support policies that facilitate a transition from single-link outsourcing toward whole-process integrated service provision.

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Journal
Agriculture
Published
2026-01-13
DOI
https://doi.org/10.3390/agriculture16020206
Primary Topic
Land Rights and Reforms
Type
article
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article

Whole-Process Agricultural Production Chain Management and Land Productivity: Evidence from Rural China

Guangcai Xu, Junhong Chen, Qilin Liu, Jing Gong
Agriculture
Land Rights and Reforms
article

Whole-Process Agricultural Production Chain Management and Land Productivity: Evidence from Rural China

Guangcai Xu, Junhong Chen, Qilin Liu, Jing Gong
article en

Abstract

As agricultural labor shifted toward non-farm sectors and the farming population aged, innovative production arrangements became essential to sustain land productivity. While partial agricultural production chain management (PAPM) was widespread, the productivity impact of whole-process agricultural production chain management (WAPM)—a comprehensive model integrating all production stages—remained empirically underexplored. Using nationally representative panel data from the China Labor-force Dynamics Survey (CLDS, 2014–2018) for grain-producing households, this study estimates the differential impacts of WAPM and PAPM with a two-way fixed-effects (TWFE) model, supplemented by propensity score matching (PSM) as a robustness check. The results show that WAPM significantly enhanced land productivity. Notably, the effect size of WAPM (coefficient: 0.486) is substantially larger than that of PAPM (coefficient: 0.214), indicating that systematic integration of service chains offers superior efficiency gains over fragmented outsourcing. Mechanism analysis suggests that WAPM improves productivity primarily by alleviating labor constraints and mitigating the disadvantages of small-scale farming. Furthermore, heterogeneity analysis demonstrated that these benefits are amplified in major grain-producing regions and hilly areas. These findings support policies that facilitate a transition from single-link outsourcing toward whole-process integrated service provision.

AgricultureVol. 16(2)
Research Center for Rural Economy (CN), Beijing Academy of Agricultural and Forestry Sciences (CN), Ministry of Agriculture and Rural Affairs (CN)
Zero hunger
Openalex Percentile: Top 89%
Land Rights and Reforms
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