Effect of e-commerce popularization on farmland abandonment in rural China: Evidence from a large-scale household survey

Uncertainty in the food supply continues to increase due to COVID-19 and geopolitical conflicts, and reducing farmland abandonment is an important measure for ensuring food security. In recent years, the Chinese government has promoted e-commerce demonstration projects in rural areas, so we ask does the spread of e-commerce reduce farmland abandonment? This study first constructs a theoretical framework for the effect of e-commerce on farmland abandonment and then quantifies that effect through spatial analysis and econometric models based on 12,732 households in the China Rural Household Panel Survey (CRHPS). The study found that there was a significant spatial aggregation between the popularization of e-commerce and the distribution of abandoned farmland, with a significant negative correlation between these two factors. The popularization of e-commerce has reduced farmland abandonment. The probability and size of farmland abandonment by farmers dropped by 4.1 % and 17.5 % when e-commerce was promoted in a village; the probability and size of farmland abandonment by farmers dropped by 7.8 % and 38.7 % when the rate of the popularization for e-commerce in villages increased by 1 %, respectively. E-commerce can reduce farmland abandonment in rural areas by absorbing returning labour, stimulating the land transfer market and revitalizing rural industry. With the improvement of physical infrastructure such as rural roads, the government should pay attention to the construction of digital villages including e-commerce infrastructure and continue to innovate new ways small farmers to participate in e-commerce, thus helping transform rural spaces and reusing idle land resources.