Abstract
China is a vast country with 800 million farmers. An amelioration of their general living condition is a pressing issue. In China, it is not uncommon to encounter lower grain price due to the delays in their transportation. There are many reasons for the low living standards in rural areas, the obsolete rural logistic system, especially regarding agricultural products, is obviously one of them. Recently, to improve logistics development conditions of China's agricultural products, every levels of government increased rural logistics investment in construction projects; however, there are still delay issues from the productions centers to the urban areas. This paper looks the breaks in the logistics chain by studying the current distribution style, and proposes logistics system based on supply and marketing cooperatives in order to improve the existing system.
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