Under the leadership of the Central Committee of the Communist Party of China and the State Council, the supply and marketing cooperatives of the whole country have strived to survive in the structural reform, develop through innovations of the mechanisms and achieve good results in serving the farmers, the rural areas, and the agriculture with a focus on the objective of truly making the themselves economic cooperative organizations of the farmers. They have completed transformation of the primary Societies, the enterprises of the cooperatives, federations and the their business outlets and remarkably enhanced their own vitality; adopted a series of powerful measures, including reforming the system of prosperity rights, changeover of management mechanisms, adjusting network of cooperatives and exploring new business fields, and remarkably improved their service functions; endeavored to activate the assets of the cooperatives and properly resolved the risks of share capital and realized preservation and increased of the asset value of the cooperatives and remarkably improved their operational quality. The SMCs have managed through the tough of difficulties and moved into a track of fast development, with a marvelous foundation for further reform and expansion.