In the early days of the People's Republic of China, China's productivity was very backward, and China was a big agricultural country. 1950 during the land reform, the productivity of individual small-scale peasant economy can no longer meet the needs of national economic development. At this time, China began to implement the policy of unified purchase and marketing of grain. At this time, the CPC Central Committee set up special grain storage institutions from the provincial to the local level, and grass-roots grain depots came into being at this time, taking on the functions of purchasing, storing and allocating grain. With the convening of the Third Plenary Session of the Eleventh Central Committee in 1978, the national economy began to recover and the reform and opening up continued to deepen. All localities began to encourage major grain depots and subordinate grain stores to carry out diversified operations under the premise of ensuring daily supply, so as to invigorate the economy, open the market and facilitate the masses. In 2004, the State Council began to implement the policy of benefiting farmers by reducing agricultural tax. According to statistics, by 2005, the exemption of agricultural tax and the abolition of agricultural specialty tax except tobacco leaves will reduce the burden on farmers by about 50 billion yuan, and nearly 800 million farmers will directly benefit; From June 5438 to February 2005, the state officially abolished the agricultural tax. At the end of 2005, the agricultural tax exemption policy was fixed in the form of law, which made China farmers bid farewell to the history of paying agricultural taxes.
After that, grass-roots grain depots and grain shops gradually withdrew from the historical stage, and the state began to encourage and allow the existence of various ways, carry out diversified operations and implement the policy of opening up the economic market. However, today, grass-roots grain depots still exist in some places, but their functions and functions have actually declined.