China will encourage companies to develop inexpensive
information technologies to cater to the needs of farmers, said an
official of the Ministry of Information Industry on Monday.
The official, who is in charge of information industry
developments in rural areas, said that the country will help
manufacturers to produce cheap electronic products especially
designed for farmers, such as US$30 mobile phone and US$100
computer.
Since the penetration rate of the Internet is relatively low in
China's rural areas and phones are still beyond the reach of many
farmers, the lack of communication to the outside world has been a
stumbling block; to improve their lives and to develop the economy,
said the official.
More government funds will be channeled into the information
industry infrastructure in rural areas and manufacturers will be
encouraged to develop products for farmers, bringing update
information to their homes, the official said.
The mobile penetration rate of the undeveloped regions is
between 10 and 15 percent, compared with 29 percent nationwide. The
penetration rate of major cities is over 80 percent and is "close
to the saturation point," according to the information industry
consulting company Analysys.
China Unicom launched entry-level phones last year to compete
with its rival China Mobile in the rural market, with its
black-and-white- screened mobile selling for 500 yuan (US$63), half
of the price of mainstream phones in domestic markets.
China now has 940 million farmers with average annual incomes of
3,255 yuan (US$406) in 2005, according to a report released by the
Information Office of the State Council this February.
(Shanghai Daily April 19, 2006)