Extracts.


China, Iran Willing to Expand Bilateral Cooperation
China and Iran expressed their willingness in Tehran on Jan.6 to expand
bilateral cooperation in various fields and promote regional political
stability and economic development.
At a meeting with Iran's First Vice President Hassan Habibi, visiting
Chinese Vice President Hu Jintao said China attaches great importance to
relations with Iran.
He pointed out that it is a consistent policy of the Chinese government to
enhance cooperation with Iran in various fields.
Hu, who arrived here on Friday on a five-day official visit, said China is
willing to further its friendly relations with Iran through joint efforts
with the Iranian side.
Recalling the traditional Sino-Iranian friendship which dates back to
ancient times, the Chinese leader said that a new chapter in bilateral
relations has been opened up since the establishment of diplomatic relations
between the two countries 30 years ago.
At the start of the new millenium, Hu said, it is necessary for the two
countries to review their relationship with a future vision so as to ensure
a healthier and more mooth development of their bilateral ties.
He praised Iranian President Mohammad Khatami's visit to China last June,
saying that trip greatly promoted bilateral ties and laid the foundation of
a long-term and stable Sino-Iranian cooperation in the new century.
Hu also expressed his satisfaction at the development of economic and trade
cooperation between the two sides.
China-Iran two-way trade broke the 2.5-billion-U.S.-dollar mark in 2000.
Iran has become an important trade partner of China in the Middle East and
Gulf region. 
Extending warm welcome to Hu's visit, Habibi expressed hope that the trip
will give a push to bilateral cooperation, especially in economic, trade,
scientific and cultural fields, adding both sides should work for the
expansion of ties in the new century.
The two leaders also exchanged views on international and regional issues of
common concern. Both sides said they are willing to play a constructive role
in the region for the sake of the political stability and economic
development there. 
They agreed that peace and development are the common aspiration of people
around the world, and the concept of "dialog among civilizations," initiated
by the Iranian president, will serve to promote friendship and understanding
of different cultures and peaceful coexistence of different countries.
Iran is the first stop Hu's five-nation tour, which also includes Syria,
Jordan, Cyprus and Uganda.
During his stay in Iran, Hu is also expected to hold talks with Khatami,
Vice President Mohammad Hashemi, Majlis (parliament) speaker Mehdi Karubi
and other senior officials.
Accompanying Hu during the visit are Deputy Foreign Minister Ji Peiding,
Deputy Minister in charge of State Development Planning Commission Wang
Yang, Deputy Minister of Foreign Trade and Economic Cooperation Sun
Guangxiang and other senior officials.

****



China to Enhance Agriculture, Farmers' Income


The Chinese government will put on top agenda the development of agriculture
and increase of farmers' incomes this year, according to the Central
Conference on Rural Work concluded in Beijing
<http://english.peopledaily.com.cn/data/province/beijing.html>  Friday.

During the meeting, participants learned Chinese President Jiang Zemin
<http://www.peopledaily.com.cn/english/leaders/jzm/jzmhome.htm> 's recent
instruction on agriculture and rural work that in the new century, the
country should never relax its efforts in consolidating the basis of
agriculture. 

Jiang said that it is crucial to push forward agricultural reform,
restructuring of the rural economy and increase farmers' incomes so as to
guarantee national grain security and social stability in the rural areas.

At the meeting, Chinese Vice Premier Wen Jiabao
<http://www.peopledaily.com.cn/english/leaders/Wenjiabao.htm>  made a speech
and the participants discussed the decisions put forward by the central
government on this year's work in the agricultural sector and rural areas.

According to the meeting, since the beginning of last year, the agricultural
sector and rural economy have been developing steadily. Marked progress has
resulted from the restructuring of the rural economy, industrialization and
market-oriented reforms in the agricultural sector.

The meeting pointed out that the slow growth of farmers' incomes has become
a major problem. It noted that the lackluster sales and low prices of farm
produce has shown no sign of improvement. Farmers' incomes in some grain
production regions are declining. As a result, the income gap between urban
and rural residents continue to widen.

The meeting urged the government to take agricultural restructuring and
increasing farmers' incomes as central tasks.

If farmers' incomes do not increase in future, farmers will lose interest in
production. Slow improvement in the purchasing power of farmers will not
only dampen the demand for industrial products, but also create a weak farm
produce market. 

According to the meeting, it is a very arduous task to resolve the problems
of farmers' incomes.

The meeting pointed out that in increasing the income of farmers, it is
imperative to increase spending on the agriculture sector and to improve the
environment for the development of the rural economy.

"The most effective approach to reach the goal is to increase the overall
efficiency of agriculture by restructuring the sector and rural economy,
which is bound to create many new jobs for farmers," according to the
meeting. 

Therefore, strong measures should be taken to improve grain quality and
processing of agricultural products, to speed up the development of
industrial and service sectors in the rural areas, and to promote the
restructuring of rural enterprises.

It is also imperative to implement the urbanization strategy by developing
small towns and accelerating the transfer of surplus rural laborers to
promote the coordinated development of urban and rural economies, it was
said at the meeting.

The meeting called for the advancing of agricultural science and technology
to improve the efficiency of traditional agricultural operation with modern
technology while the development of animal husbandry is accelerated.

The restructuring of agriculture and the rural economy is a long process, it
was noted at the meeting, calling for protecting farmers' enthusiasm and
bringing to full play to their initiatives.

Participants to the meeting placed great importance to continuing
poverty-reduction efforts in rural areas.

After years of work, the problem of providing enough food and clothing to
poverty-stricken people in the rural areas has basically been solved in
China, 

"But this is by no means an end to poverty-alleviation work," the meeting
noted, adding that many farmers who no longer live in poverty are still
vulnerable to natural disasters. It was announced at the meeting, that in
the tenth-five-year plan period (2001-2005), China will take poverty
alleviation as a major measure in boosting farmers' incomes, with priority
given to areas inhabited by ethnic groups and the poverty-stricken regions
in the middle and western regions of the country.

The meeting also emphasized the importance of agriculture in ensuring grain
safety of the state, noting that agriculture has always supported economic
development and social stability in the process of strategic restructuring
the national economy.

The meeting called for the agriculture sector to face the new challenges
when of the country's accession to the World Trade Organization and urged
governments at all levels to render more support to agriculture, especially
to face the current problem of a surplus of agricultural products.
"Providing sufficient food to the more than 1.2 billion Chinese remains the
top task of the country," the meeting stressed.

The Chinese government will take concrete measures to ensure adequate food
supply and food safety this year.

These measures include protecting the country's arable land, maintaining
farmers' production initiatives, enhancing the grain output level in major
production areas and improving the co- ordination system of grain reserves,
the meeting noted. 

The relationship between restructuring the agricultural sector and a stable
grain production must be properly handled, it was stressed at the meeting.

The reform of replacing arbitrary fees imposed by local authorities with
taxes is a key policy adopted by the central government to protect farmers'
initiatives and interests.

It is also important to long-term rural development and stability, according
to the meeting. 

Maintaining stability in rural areas is a "prerequisite" for rural reforms
and development, the meeting pointed out.

The meeting stressed that all policies must be strictly carried out in rural
areas to safeguard the rights and interests of farmers.

The conference also outlined ten major tasks for rural work this year:

---- Promoting agricultural restructuring and enhancing the overall
performance of the rural sector;

---- Ensuring sufficient food supply and improving the economic returns of
grain production; 

---- Transferring surplus rural labors to other sectors and gradually
increasing the incomes of farmers;

---- Stepping up rural tax reforms to ease the burden of farmers;

---- Increasing investment in agriculture and infrastructure in the rural
areas; 

---- Deepening technological and educational reforms;

---- Reforming the rural credit cooperatives and improving financial
services; 

---- Continuing poverty alleviation programs and improving farmers'
production and living standards;

---- Further opening up the rural sector to the outside world to participate
in global competition;

---- And promoting the overall social progress in rural areas.


****


Chinese Vice Premier Meets Finnish Guests
Chinese Vice Premier Wu Bangguo
<http://www.peopledaily.com.cn/english/leaders/Wubangguo.htm>  met in
Beijing <http://english.peopledaily.com.cn/data/province/beijing.html>
January 5 afternoon with Jorma Ollila, president and chief executive officer
of Nokia and his party.

Wu briefed the guests on China's economic development. He said that
information technology contributed to economic growth in China.

He said that he hopes foreign companies including Nokia will place greater
importance on cooperation with their Chinese counterparts.

Ollila noted that his company has always regarded developing business in
China as significant and will continue to do so in the future.

The Finnish guests are here at the invitation of the Ministry of Information
Industry. 


****



Vice-Premier Meets Taiwan Delegations


Chinese Vice-premier Qian Qichen
<http://www.peopledaily.com.cn/english/leaders/Qianqichen.htm>  said in
Beijing <http://english.peopledaily.com.cn/data/province/beijing.html>
January 5 that he appreciates the effort by individuals and organizations in
Taiwan <http://english.peopledaily.com.cn/data/province/taiwan.html>  to
promote direct links in trade, transportation and postal services (the
"three direct links") across the Taiwan Straits.

Qian made the remarks in a meeting with two delegations from Taiwan for
"three links", headed respectively by Her Jyh-Huei from Taiwan's Kuomintang
and Fung Hu-Hsiang from Taiwan's New Party.

Qian said that early in 1979 the mainland suggested direct links in trade,
transportation and postal services across the Taiwan Straits, which became
impossible because of obstructions by the Taiwan authorities.

He noted, however, that the "three direct links" has now become the common
desire of Taiwan compatriots and a common understanding between the mainland
and those political parties, organizations and personage who advocate
promoting across-Straits relations.

Qian said that during the past 20 years the mainland has done a lot to
prepare for the "three direct links". Some non- governmental organizations
on both sides of the Straits have also carried out discussions and
negotiations on this issue.

It is time for the Taiwan authorities to abandon its policy of hindering the
"three direct links" and make a contribution to the realization of the
"three direct links", said Qian.

The "three direct links" is related to the development of the mainland and
Taiwan in the 21st century. The two sides can achieve prosperity and
development through exchange and cooperation, noted Qian.

Qian also pointed out that the "three direct links" is an internal affair of
China and should be realized by the two sides of the Straits on the basis of
"directness, two-way and mutual benefit".

He said that the "three direct links" will finally realize with effort by
the two sides of Straits.


****

Officials Across Taiwan Strait Say "Three Links" Is A General Trend
Realization of the "Three Links" is a general trend and the common wish of
the people across the Taiwan
<http://english.peopledaily.com.cn/data/province/taiwan.html>  Strait, said
officials from the Beijing
<http://english.peopledaily.com.cn/data/province/beijing.html> -based
Association for Relations across the Taiwan Strait (ARATS) and visiting
delegates of Taiwan's Kuomintang Party and New Party during their dialogue
held January 5. 

The "Three Links" refers to direct links in trade, transportation, and
postal services across the Taiwan Strait.

It is against the will of the peoples on both sides of the strait to
postpone the realization of the "Three Links", the officials said.

Both sides of the Taiwan Straits have called for the Taiwan authorities to
lift unreasonable limitations and adopt substantial moves to pave way for
the "Three Links." 

Although the Taiwan authorities recently approved direct trade and personnel
exchange between Jinmen, Mazu, and the coastal areas of Fujian
<http://english.peopledaily.com.cn/data/province/fujian.html>  Province,
these are not the "Three Links" in a genuine sense, said Sun Yafu, deputy
president with the ARATS.

The "Three Links" across the Taiwan Strait is an internal affair of China,
therefore many relevant issues should be solved through consultation on the
principle of One China, direct and two- way exchanges, and mutual benefit,
the ARATS offcial stressed.

If the Taiwan authorities are sincere in resolving the issue, they should
acknowledge the "One China" policy clearly as soon as possible and make
substantial efforts to remove unreasonable policies.

Experts from some departments under the State Council also attended the
dialogue and introduced the Taiwan visitors to the preparations the mainland
of China has made for the "Three Links."

The 40-member Kuomintang delegation and the 22-member New Party delegation
arrived Thursday at the invitation of the ARATS.



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