In order to encourage farmers to adopt environment-friendly measures for the production of quality paddy, the Council of Agriculture (COA) has implemented preliminary dual system of direct payment policy and guaranteed purchase on rice in 6 townships, since the second crop season in 2016. The declared direct payment area took up 49% of the declared rice cultivation area.
The implementation of direct payment policy expanded to 20 trial areas in the first crop season of 2017, and the declared area accounted for 63% of the declared trial paddy area, which has effectively brought down farmers' dependence on guaranteed purchase. The second crop season of 2017 saw an increase to 50 trial areas with 66% of declared paddy area. The guaranteed purchase system is scheduled to be integrated into the Fallow Land policy in 2018 and adjusted to become the Green Environment Payment for the purpose of encouraging more farmers to produce import-substituted or development-priority crops.