China produces massive quantities of agricultural solid waste annually through farming activities, livestock operations, and crop processing. Left unmanaged, this waste presents environmental, economic, and logistical challenges. When treated and reused effectively, agricultural solid waste can become a valuable resource, contributing to circular economy goals, reducing pollution, and supporting broader rural development objectives.
In January 2026, Chinese authorities highlighted targeted actions to promote the transformation of agricultural solid waste into valuable inputs under a coordinated national strategy. This policy direction aligns with China’s ecological transition and comprehensive solid waste governance framework, signifying growing emphasis on sustainable agriculture and efficient resource utilization.
Executive Summary
- The State Council of the People’s Republic of China issued the Action Plan for Comprehensive Treatment of Solid Waste, published on 27 December 2025 and officially promulgated on 5 January 2026.
- The plan serves as the overarching policy framework for solid waste governance, emphasizing reduction, resource utilization, and harmless treatment.
- Agricultural solid waste reuse is a priority under the plan, with China’s Ministry of Agriculture and Rural Affairs coordinating implementation efforts.
- Targeted measures focus on material substitution (biodegradable films), enhanced recovery and recycling (straw returning, animal manure utilization), technology innovation, and incentive mechanisms.
- The policy underlines systemic deployment across the waste lifecycle, from source control to integrated management and technology support.
- Long-term expectations include improved circularity in agriculture, reduced environmental pressure, and deeper market engagement in waste-to-value services.
Policy Framework and Strategic Drivers
The Action Plan for Comprehensive Treatment of Solid Waste (固体废物综合治理行动计划) was issued by the State Council of the People’s Republic of China on 27 December 2025 and published on 5 January 2026 as Guo Fa [2025] No.14 (国发〔2025〕14号) with implementation overseen by ministries including the National Development and Reform Commission (NDRC) and the Ministry of Ecology and Environment (MEE), among others.
The plan establishes China’s structured approach to governing all categories of solid waste, industrial, municipal, agricultural, and hazardous, through principles of reduction, resource utilization, and harmless treatment.
For agricultural waste specifically, the plan’s emphasis on re-use of resources responds to the sector’s significant share of total solid waste and the increasing expectations for greener agricultural practices embedded in national rural revitalization strategies.
Scale, Seasonality, and Cost Structures
China’s agricultural waste streams, including crop residues, animal manure, discarded agricultural films, and pesticide packaging, are characterized by vast volumes, pronounced seasonal peaks, and significant geographic dispersion. These features contribute to elevated collection, storage, and transport costs, limiting traditional recycling or reuse options.
The challenges stem from both logistical constraints and limited profitability for stakeholders engaged in collection and recycling. Without structured incentives and technical solutions, the sheer scale of waste limits meaningful industry participation and technology adoption.
Source Control and Material Innovation
Under the action plan’s implementation guidance, authorities advocate for better source control practices to reduce waste generation intensity and enhance recoverability. These measures include:
- Scientific use of agricultural films: Promoting thicker, high-strength films and fully biodegradable alternatives to reduce environmental impact and facilitate reclamation.
- Pesticide packaging recycling: Adopting localized systems tailored to different agricultural regions for improved collection of pesticide containers.
Such source interventions not only reduce the environmental footprint but also reshape downstream recycling economics by improving material quality and reducing contamination in recovered waste streams.
Circular Agriculture Practices
The policy emphasizes expanding circular agriculture models, systems that integrate crop production and livestock operations to recycle organic waste internally. Key components include:
- Straw returning and feed utilization: Encouraging the return of crop straw to soil and exploring high-quality straw feed applications.
- Manure re-use of resources: Advancing technologies and practices for turning animal manure into fertilizers or bioenergy inputs.
- Integration and synergy: Supporting combined crop-livestock systems that reduce waste and enhance nutrient cycling.
These initiatives aim to diversify reuse pathways, reduce reliance on external inputs, and embed waste reuse within agricultural production systems.
Incentive Mechanisms and Market Participation
The policy framework calls for targeted incentives and institutional support to draw broader participation in agricultural waste utilization:
- Policy incentives: Financial and material support for waste recovery enterprises to improve collection, transport, and recycling capacity.
- Private sector engagement: Encouraging firms across the agricultural and environmental services sectors to develop business models oriented towards waste re-use of resources.
These measures aim to align market incentives with environmental goals, fostering sustainable enterprise models that can scale reuse efforts beyond pilot programs.
Technology Development and Solution Integration
A robust waste-to-value transformation requires addressing key technical bottlenecks through scientific innovation and technology maturation:
- Processing innovations: Improving rapid decomposition processes for straw returning and manure utilization, particularly in low-temperature conditions.
- Material engineering: Advancing biodegradable films and other materials that reduce environmental impact while preserving functionality.
- Solution integration: Combining products, equipment, and processes into cohesive solutions suited to region-specific agricultural conditions.
Fostering such technological pathways supports a transition from small-scale experimentation to scalable commercialization of waste reuse systems.
Awareness Building and Capacity Development
Behavioral and cultural dimensions also play a role in the policy’s implementation strategy:
- Multi-channel education and outreach: Communicating the benefits of circular agricultural practices to farmers, cooperatives, and agribusinesses.
- Training and guidance: Providing hands-on training on waste classification, collection methods, and recycling processes.
By increasing awareness and capabilities at the grassroots level, the policy seeks to anchor circular practices in everyday agricultural operations.
Systemic Alignment with National Environmental and Agriculture Goals
The solid waste governance strategy, and agricultural waste reuse in particular, is closely aligned with China’s broader circular economy objectives and green transformation goals. Emphasizing waste reduction and re-use of resources across economic sectors strengthens the sustainability of development patterns and supports the transition to net-zero emissions pathways.
Rural Revitalization and High-Quality Growth
In the rural context, enhancing resource reuse contributes to environmental quality improvements, facilitates modern agricultural productivity, and supports rural livelihoods by unlocking new revenue streams for farmers and agribusiness participants.
Cost and Infrastructure Barriers
While the policy framework promotes systemic solutions, implementation in rural and remote regions may face challenges due to the lack of infrastructure, financing constraints, and the seasonal nature of agricultural waste streams. Market-driven models may struggle to achieve financial viability without sustained public investment or subsidy support.
Technology Adoption and Scaling
Advanced technologies for waste processing and material innovation require continuous research and development and effective diffusion pathways to reach broad agricultural communities. Bridging this gap demands coordination between public institutions, private innovators, and agricultural stakeholders.
What This Means for Business
The agricultural solid waste reuse strategy outlined in China’s solid waste governance framework offers a range of commercial and strategic implications:
- Emerging Markets in Circular Agriculture: Opportunities will grow for firms specializing in recycling technology, biodegradable materials, manure processing systems, and integrated waste management services.
- Incentive-Driven Participation: Government incentives may lower entry barriers for private firms and stimulate pilot programs leading to scalable commercial models in waste-to-value operations.
- Regional Service Models: Companies can tailor solutions to regional agricultural profiles, building localized service networks for collection, processing, and resource utilization.
- Tech-Based Competitive Advantage: Firms investing in processing technologies, automation, and intelligent logistics solutions will be better positioned to capture long-term value.
- Sustainability Credentials: Engagement in agricultural waste reuse aligns with broader environmental, social, and governance (ESG) trends, enhancing corporate sustainability profiles and stakeholder confidence.
Sources
- Action Plan for Comprehensive Treatment of Solid Waste, State Council of the People’s Republic of China, issued 27 December 2025, promulgated 5 January 2026.
https://www.mee.gov.cn/zcwj/gwywj/202601/t20260105_1139840.shtml
- “我国将精准发力促农业固体废弃物‘变废为宝’”, Xinhua/various provincial publications, 13–14 January 2026. (nyncj.wuhan.gov.cn)
- “Action Plan for Comprehensive Treatment of Solid Waste Explained”, China Daily, 16 January 2026. (https://cn.chinadaily.com.cn/a/202601/16/WS6969fe74a310942cc499b98b.html)