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China's Primary Industry GDP Contribution Rate Holds Steady at 0.3 Percentage Points; Total Grain Output Exceeds 710 Million Tons, Hitting a New High

2026-01-28

Core Overview: Contribution Rate Flat, Fundamentals Solid

According to the latest DataTrack data, the contribution rate of China's primary industry to GDP growth in 2025 remained at 0.3 percentage points, completely flat compared to the figures from 2022 to 2024. Against the macro background of China's full-year GDP growth of 5.0% in 2025, the value added of the primary industry reached approximately 9.3 trillion RMB, with a year-on-year growth rate of 3.9%. Although the primary industry's direct drive on overall economic growth is limited, its "low volatility" characteristic of maintaining 0.3 percentage points over the long term confirms agriculture's strategic positioning as the "ballast stone" and inflation stabilizer in the national economy.

Key Details: Grain and Meat Output Both Hit New Highs

Although the GDP contribution rate figure is small, physical output data performed impressively. In 2025, China's total grain output reached 714.9 million tons (approximately 1.43 trillion jin), an increase of 1.2% over the previous year, standing firmly at the 1.3 trillion jin level for consecutive years and setting another historical record. In addition, meat supply capacity improved significantly, with the annual output of pork, beef, mutton, and poultry breaking the 100 million ton mark for the first time, reaching 100.72 million tons, a year-on-year increase of 4.2%. Meanwhile, agricultural modernization indicators continued to optimize, with the comprehensive mechanization rate of crop cultivation and harvest rising to 76.7%, indicating strengthened technological support for output.

Deep Attribution: Policy Dividends and Infrastructure Upgrades

Market analysis generally attributes the robust performance of the primary industry to strong support from national strategies. Officials continue to promote the strategy of "storing grain in the land and storing grain in technology." In 2025 alone, 105 million mu of new high-standard farmland was constructed, significantly enhancing agriculture's ability to prevent and withstand disasters. Institutional views point out that in an environment of fluctuations in real estate and domestic demand, the high certainty of the primary industry comes from the policy's high degree of control over food security; the seed industry revitalization action and investment in modern equipment have effectively offset the negative impacts brought by some extreme weather events and labor structure changes.

Outlook and Risks: Focus on No. 1 Document and Climate Variables

Looking at the short term (1-2 months), with the impending release of the 2026 "No. 1 Central Document," market focus will lock onto the new round of policy dividends for rural revitalization and food security. It is expected that spring plowing and preparation work will drive seasonal demand in the agricultural supplies, seeds, and fertilizer sectors. In the medium term (3-6 months), the main risk lies in the La Niña phenomenon brought by climate change, which may trigger extreme droughts or floods, thereby interfering with summer grain harvest expectations. Additionally, the transmission effect of global commodity price fluctuations on agricultural input costs is also a potential risk that investors need to continue monitoring.

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