The Environmental and Socio-Economic Effect of Farmland Management Right Transfer in China: A Systematic Review

Small and fragmented arable land is a key challenge for small-scale agricultural countries, resulting in low labor productivity, ecological damage, and inefficient land use. To cope with this challenge, the farmland transfer (FLT) policy is implemented to establish modern agriculture based on specialization and scale enlargement. Despite the rising body of literature, an overview of the effect of this policy is lacked. This paper aimed to examine the multi-dimensional effects of FLT in China. A systematic search of the Web of Science and Scopus databases revealed 26 full-text peer-reviewed articles. We found that FLT had both positive and negative effects, and its effects were mainly mediated by intermediary factors. Non-contingent FLT and post-FLT actions were responsible for the adverse effects of FLT. In the literature, the influence of FLT on the environment is the most concerning issue. The results also show that the existing evidence on the effect of FLT is insufficient; therefore, this paper proposes to further exploration of the multi-dimensional effects of FLT, institutional feedback, and trade-offs. While FLT offers the potential to address socio-economic and environmental challenges, this study suggests that an institutional framework that takes into account spatial and temporal aspects, land-use, market systems, and household conditions is needed to promote favorable development, and mitigate potential land market problems and ensure sustainable development. Despite significant limitations remain, the literature on the socio-economic and environmental effects of FLT is increasing.