China's Agricultural Processing Sector Expands, Value-Added Output Up 4.8% in H1

In Feixi County, Anhui Province, rice processing residues such as broken rice and distiller's grains are now brewed into red yeast rice wine, significantly raising added value. The distiller's grains produced during the process are further converted into organic fertilizer, lifting local rice utilization to 96%. In Licheng District, Jinan, Shandong Province, creative paddy field artworks combine ornamental and edible functions, attracting tourists and promoting the integration of agriculture, culture, and tourism. Across multiple regions, extending agricultural industry chains and developing intensive processing have transformed primary farm products into diversified goods, upgrading the form of the agricultural industry.

In Lichuan City, Hubei Province, mini potatoes that once drew little interest have been turned into snacks and other food products through a fully integrated production, processing, and sales chain, achieving higher value. Local agricultural processing industries have developed specialty sectors based on resource endowments. In the first half of 2026, the value-added output of the national agricultural and sideline food processing industry above designated size grew by 4.8% year on year. The sector's integration with rural tourism and e-commerce has helped optimize industry chains.

In Huanan County, Heilongjiang Province, a full perilla industry chain has been built around "germplasm innovation, green planting, intensive processing, and brand marketing," yielding more than 120 intensive processed products, including perilla oil, perilla tea, and perilla health products. Product forms have extended from primary agricultural goods to high-value-added items. Since the start of 2026, the Ministry of Agriculture and Rural Affairs has supported the construction of 40 new advantageous specialty industry clusters, 50 modern agricultural industrial parks, and 200 agricultural industry strong towns.

In Xuyi County, Jiangsu Province, the total output value of the crayfish industry has exceeded 40 billion yuan, providing employment and income opportunities for about one-sixth of the county's population. Crayfish-related activities account for 32.5% of local rural residents' income. The agricultural product processing industry has improved mechanisms for linking farmers with industry, broadening channels for farmers to participate in rural industries and encouraging standardized production and industrialized operations. Local governments have strengthened institutional safeguards for wealth creation and benefit sharing, promoting coordinated development of primary processing, intensive processing, and comprehensive utilization of byproducts.