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The objectives of this research were: 1) To understand the rural development contexts for agricultural land use right transfer policy of China in the previous years. 2) To analyze the power relations patterns in the agricultural land use right transfer process in Shanpotian village in Yaoan county, Yunnan province. A qualitative methodology is utilized by applying documented research, focus group discussions and in-depth interviews with 45 farmers. The results of the study show that the ongoing agricultural land use right transfer is promoted and encouraged by the Chinese government’s rural development strategies under the background of industrialization and urbanization. In a transfer process, powerful groups will attempt to use their social, economic, formal, and informal powers to influence the transfer process, to gain more benefits from the negotiation; and the poorer groups will always be the disadvantages. Thus, public interests should be more wellconsidered by the government.
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