Linking Smallholder Farmers to the Heilongjiang Province Crop Rotation Project: Assessing the Impact on Production and Well-Being

Abstract

Food security and environmental protection—led by sustainable agricultural development—are key development goals of Heilongjiang Province. One of the main challenges facing the Heilongjiang Province is improving soil and livelihood by integrating smallholder farmers into the pilot crop rotation project. This paper investigates a comprehensive project—the new crop rotation pilot project in Heilongjiang (NCRPPH)—which aims to improve the livelihood of the pilot participants by involving smallholder farmers in the pilot crop rotation program and connecting them with the food industry through farmers’ cooperatives. This paper analyzes the impact of the NCRPPH on farmers’ crop rotation, grain yield, multi-agent cooperation, food security, and education based on data collected in 2019 and other retrospective information. The instrumental variable method and three different estimation strategies are used to solve the endogenous problem. The results show that the project has a vast and positive impact on the gross and net value of grain production per hectare and the share of products sold to food manufacturers through cooperatives. Regardless of the farm size, farmers have equal opportunities from which they can benefit. In addition, our analysis shows that the NCRPPH improves the educational situation and food security without affecting crop rotation practices. Finally, our research proves the effectiveness of this project.