This paper analysis the course of modern land system of China, which draws out that land is basis to survive of peasant and to participate social work creating material wealth. It will significantly accelerate agricultural development, notably increasing income of peasants, remarkably promote the efficient of planting the staple food by means of cancellation agricultural tax and implement the policy of planting the grain subsidy policy greatly progressively at the same time. The issue that peasant land rights and transformation of the administrative functions of township government must striven to solve these problems that face to the theory and practice in the progress of agricultural development of China.