The State Council General Office issued a guideline on Jan 22 to regulate the transfer and transaction market of rural property rights to ensure the healthy development of the platform.

The move is integral to the bigger picture of reform and development taking place in rural areas, the guideline said.

A healthier property transfer market will ensure the rights and interests of farmers and collective organizations in rural areas, and will “boost efficiency in allocating and utilizing resources in regard to rural production factors”, the guideline said.

Steps to further regulate the market will be unveiled in a fair and open manner suitable to local conditions, it added.

In addition to traditional functions, the property transfer market is expected to play an additional role which is to “provide services to farming households, farmer cooperatives and collective organizations”.

All regulating and supervising committees, as well as watchdog departments in the local areas, should strengthen oversight and take action against any illegal transactions.

To establish such a market requires approval by local government, and currently most of the markets are based at the county level.

Markets based at a higher administrative level — such as in a city or province — may be allowed, if necessary, the guideline said.

Efforts in formulating local regulations should follow the particular needs, and preferential policies should be made toward the construction and running of such markets, the guideline said.