Why are smallholders reluctant to grow greenhouse vegetables?

Industrial prosperity is a vital foundation for rural revitalisation. Perhaps inspired by Shouguang in Shandong, the centerpiece of agricultural industrial development in the rural central and western regions is often the promotion of greenhouse vegetable cultivation. Such is the case in Gong County (a pseudonym) in the central region.

A few years ago, during the period of targeted poverty alleviation, the Gong County government introduced greenhouse vegetables—highly profitable in market terms—and implemented subsidy policies in an attempt to integrate them into the local farmers’ livelihood systems.

● Traditionally, Gong County’s crops were rice and white lotus, but the policy support and subsidies for greenhouse vegetables far outweighed those for white lotus.
Between 2019 and 2020, I conducted four field surveys in Gong County as part of a research team. We found that in terms of market prospects, the income from one mu of greenhouse vegetables was approximately 20,000 to 30,000 yuan, significantly higher than the 3,000 to 4,000 yuan per mu earned from the local traditional cash crop, white lotus. Yet, the local farmers did not switch to greenhouse vegetables in droves; instead, they persisted with the traditional cultivation of rice and lotus.

Given that the government provided greenhouses, seedlings, and technical guidance free of charge, what exactly caused their reluctant attitude towards adopting greenhouse vegetables?

1. Land Transfer, or Land Grabbing?

In terms of natural geography, the latitude of Gong County, combined with abundant rainfall, accumulated temperature, and fertile soil, provides ideal conditions for the growth of most crops. However, the production of greenhouse vegetables requires the creation of a closed growing space that is relatively isolated from the external environment. Constructing such a space demands flat terrain, fertile soil, a reliable water supply, a position sheltered from the wind and facing the sun, and effective drainage.

The complication is that Gong County is situated in a hilly and low-mountain region, with mountains covering approximately 2 million mu, leaving very little flat, open terrain. Promoting the greenhouse vegetable industry here requires significant upfront investment: fragmented smallholdings must be transferred and levelled into contiguous plots, and access to water, electricity, and roads must be established to facilitate the movement of agricultural inputs and the transport of produce.

● Paddy fields in the village are converted to dry land, with gullies levelled and ridges reshaped to create a contiguous and orderly layout.
Take Chen Village in Gong County as an example: In 2018, just eight months after a vegetable enterprise established itself there, the village had already completed the construction of 1,500 mu of elevated linked greenhouses; by 2020, this had expanded to 2,000 mu. By 2021, with the exception of small plots unsuitable for such structures, 90% of the remaining arable land was covered by linked greenhouses. Lin Fuhui, a representative of one such enterprise, remarked: “The reason I came here was because the land (referring to Chen Village) is flat and there is motorway access; otherwise, we wouldn’t have come.”

The consequence of this was that paddy fields, originally used for rice and white lotus, were converted into dry land. Diverse landscapes were standardised into uniform blocks, forcing a sharp decline in the cultivation area for Chen Village’s traditional rice, white lotus, and even tobacco leaves. The rare flat, open arable land with convenient irrigation and transport links was entirely occupied by greenhouse vegetables.

However, due to overly rapid expansion combined with land rent and labour costs, the enterprise could only sustain the operation of 800 mu of greenhouses. Of the remaining 1,200 mu in Chen Village, 200 mu were leased back to farmers for free in accordance with policy requirements, 600 mu were sublet via a lease-back arrangement to professional migrant farmers from provinces such as Guizhou and Hunan to grow crops like strawberries, leafy greens, and watermelons, and 400 mu had lain fallow for two consecutive years.

If the original intention of land transfer was to improve resource utilisation, the case of Chen Village has clearly failed to deliver on this promise.

II. High Investment Following the Withdrawal of Subsidies

Gong County focused on promoting the construction of double-layer, double-film steel-frame linked greenhouses. Combined with supporting equipment such as roll-up curtains and films for ventilation, sprinkler irrigation, and electronic controls, the investment per mu reached as high as 60,000 to 80,000 yuan. Without government investment in initial fixed facility costs, it would be difficult for even outside commercial capital to venture into the countryside, let alone ordinary farmers.

●This type of high-raised connected steel-frame greenhouse is approximately 6–8 metres wide, with a length of about 30–50 metres and a spacing of around 2 metres between greenhouses.

To ensure the successful establishment of the greenhouse vegetable industry, the government—building on high-standard farmland renovation—actively attracted industrial and commercial capital to invest in the construction of connected steel-frame greenhouses, providing a 50% subsidy for construction costs per mu.

The government also stipulated that once the greenhouses were completed, vegetable enterprises should prioritise hiring local low-income households for labour. For those households wishing to cultivate the land themselves, rent-free access to the greenhouses was provided.

Encouraged by these favourable policies, 43-year-old Chen Guilin, a resident of Chen Village, recognised the market potential of greenhouse vegetables. During the 2018 Spring Festival, after discussing it with his wife, he decided to stop migrating for work. Taking advantage of a policy that halved the rent, he leased four connected vegetable greenhouses from an enterprise, primarily growing aubergines and chillies.

However, Chen Guilin soon discovered that growing greenhouse vegetables was not as simple as tending to a home garden, as the costs for pesticides, seedlings, fertilisers, agricultural film, irrigation, and labour were prohibitively high. Although the greenhouses increased yields, the scale of production still fell short of that of commercial vegetable enterprises. Consequently, he could only sell in bulk at low prices, relying on the enterprise’s channels for distribution.

●Taking aubergines as an example, the investment per mu per season is approximately 8,000 yuan, which is nearly equivalent to the total earnings from one mu of high-yield white lotus.
By the end of 2019, Chen Guilin had crunched the numbers: after costs, each mu of greenhouse brought in a profit of only about 10,000 yuan, meaning four greenhouses earned roughly 40,000 yuan. As Chen put it: “It’s all hard graft; we’d be better off working elsewhere.” That year, the couple had barely left their greenhouses.

By the end of 2020, as the poverty alleviation campaign drew to a close, the officials who had championed the greenhouse project were reassigned. Consequently, the previous subsidies for vegetable greenhouses were slashed and rental costs rose, leaving many vegetable enterprises unable to sustain such high-input production methods. Feeling it was no longer viable, Chen and his wife abandoned their greenhouses and returned to migrant work.

III. Technology: The “Invisible Wall”

Beyond the initial investment in infrastructure, the technical barrier to entry for greenhouse farming is considerable, requiring operators to possess a certain level of technical expertise and management skill.

Before the development of the greenhouse industry in Gong County, tobacco and potatoes were the most common crops. However, the farmers who contracted the greenhouses typically grew aubergines. Not only could these not be rotated with tobacco or potatoes—as all belong to the Solanaceae family—but the soil previously used for tobacco or potatoes required additional disinfection before aubergine seedlings could be planted. The experience gained from open-field cultivation, which suited the traditional industrial structure, proved largely useless inside a greenhouse.

In theory, because a greenhouse is a relatively enclosed space, the entire growth process of the crops can be controlled by adjusting temperature, humidity, light, heat, water, and fertiliser, thereby shielding the plants from the adverse effects of natural elements.

Yet, discerning exactly when to increase humidity or temperature, and knowing how to manage these levels using ventilation and heating equipment, depends entirely on the operator’s individual skill and experience.

Take aubergines, for example: they thrive in high temperatures, requiring a sufficiently warm nighttime room temperature during the planting stage. They also love the sun; for farmers wishing to bring aubergines to market off-season, shading cloths must be opened promptly during the day and closed at night, while fan heaters are run to regulate the temperature. Aubergines are water-intensive; once fruit has set, irrigation must be increased several times over. However, overwatering can lead to waterlogged roots and foliage rot, making timely ventilation management essential. During the flowering and fruit-setting period, growers must also prune excess side shoots from below the main stem and remove diseased, yellowed, or ageing leaves and deformed fruit to ensure the plants are well-ventilated and receive enough light, preventing the waste of nutrients…

All of this demonstrates that the precision management of water, fertiliser, light, and pests in greenhouse farming constitutes an entirely new body of knowledge and experience. Only by investing significant time, energy, and labour can a producer guarantee their yield and income.

This technical barrier acts as an invisible “wall”, separating those inside the greenhouse from those outside.

Chen Chengren, a 45-year-old farmer from Chen Village, remarked with a sigh: “At my age, I can manage more complex vegetables—things like aubergines and chillies, which require more technical skill. But for someone my father’s age, sixty, it’s not suitable. Firstly, his physical strength isn’t there, and secondly, he can’t keep up with the technical side.”

Yet, in central regions like Gong County, those remaining in the villages are predominantly elderly farmers over sixty, like Chen Chengren’s father. Driven by a fear of incurring losses, they prefer to grow the open-air vegetables they are familiar with or set up simple greenhouses in winter. By planting on a smaller scale and selling their produce retail at the market, they may only make a modest living, but at least they avoid the risk.

IV. The Difficulty of Hiring Labour

To achieve precision management in greenhouses, mastering new technologies is only the first step. Many growers in the sector believe that “investing in greenhouse vegetables requires significant capital; without the right equipment and sufficient manpower, crops are highly susceptible to frost and heat damage during temperature extremes.”

However, finding and hiring the right workers presents another daunting challenge.

Approximately 85% of Gongxian’s youth have migrated to coastal regions for work. Those remaining in the villages—regardless of their age, skill set, or physical fitness—fall far short of the high-intensity, fast-paced demands of greenhouse vegetable farming.

As Huang Jinchun, a village official in Zhu Village, puts it: “A vast number of rural residents still head elsewhere for work, leaving businesses facing chronic labour shortages. Some find the wages too low or the management too strict, while others find the greenhouses stifling. Owners have tried various strategies, including hiring young people, but these recruits often lack the necessary skills; the role requires someone who is both technically proficient and capable of managing others. The villagers are accustomed to a more relaxed way of life, making them difficult to supervise. Middle-aged women, for instance, often ignore instructions; when eggplants or chillies need pruning according to technical standards, the farmers are reluctant to do so, fearing it will damage the seedlings. Traditional farming beliefs often clash with scientific cultivation—meaning that even those who know how to farm may not know how to farm *this* way.”

●High temperatures and humidity, combined with high planting density, make greenhouse work unsuitable for elderly labourers around the age of 60. Even enterprises with the financial means to hire staff struggle to find workers.
Agricultural production is seasonal and cyclical. During planting, harvesting, or in the wake of sudden disasters, the demand for labour spikes, resulting in a classic case of ‘too much work and too few hands’. Consequently, both commercial enterprises and local greenhouse growers have had to go to great lengths to secure labour.

Larger vegetable enterprises are often willing to pay higher wages (in 2018-2019, daily rates were 100 yuan for men and 90 yuan for women) to attract farmers. For ordinary growers, however, this inflation of wages means they must rely on the help of relatives and friends to manage their labour needs, though the resulting costs can still squeeze their already slim profit margins.

For instance, the labour cost for eggplants can reach approximately 3,000 yuan per mu per season. It is little wonder that grower Chen Keli remarked: “To make money from vegetables, you have to put in the hard graft yourself. The big bosses have the money to hire people at high wages, but for ordinary folk like us, we’d rather let the crop fail than pay for labour.”

Greenhouse vegetable farming is not lacking in market potential or policy support. However, due to its “demanding nature”, it is best suited to younger and middle-aged farmers who possess a degree of financial stability, can adapt quickly to new technologies, have the energy required, and can better navigate market fluctuations.

Clearly, there is a mismatch between these requirements and the age and skill sets of the farmers remaining in rural Gongxian.

Foodthink says

As discussed in this article, the technical barriers, capital requirements, and labour intensity of greenhouse vegetable farming make it difficult for small-scale farmers to benefit from the industry’s growth. Tomorrow, Foodthink will continue the story of Gongxian, focusing on the environmental and social impacts of this highly intensive industry, as well as reflections on its development. Stay tuned!

Foodthink Author | Sang Kun

PhD in Sociology from China Agricultural University. His research interests include rural sociology, social theory, urban-rural development, and cultural anthropology. He has led several projects, including a Youth Project funded by the National Social Science Fund of China and a general grant from the China Postdoctoral Science Foundation. He has published seven papers in CSSCI journals and was awarded the 2022 Beijing Excellent Doctoral Dissertation Award. He is currently a Boya Postdoctoral Fellow and Assistant Researcher in the Department of Sociology at Peking University.

 

 

 

Editor: Ze En