Environmental Impact of Agricultural Land Transfer in China: A Systematic Review on Sustainability

Abstract

Farmland holding fragmentation facilitates more extensive use of agricultural chemicals, which harm the natural environment. Agricultural land transfer in China aims to consolidate agricultural holdings, promoting economies of scale and addressing socio-economic and environmental concerns. This systematic review aims to examine the impact of agricultural land transfer on the environment. The review evaluates 60 empirical research articles retrieved through the Web of Science and SCOPUS databases, which discuss the relationship between agricultural land transfer and the environment. The findings indicate that agricultural land transfer has both positive and negative impacts on the environment. Farmers who engage in land rental and adopt sustainable agricultural practices, including the utilization of organic fertilizers, implementation of conservation measures, and application of efficient carbon reduction techniques, have demonstrated a notable positive influence on the environment. The lack of regulatory mechanisms concerning agricultural land transfer, including non-adjacent agricultural land transfer and large-scale farmers’ improper chemical utilization, causes significant negative environmental consequences such as biodiversity loss and ecosystem destruction. As such, we recommend innovative institutional developments addressing spatial and temporal considerations, land use, market systems, and household conditions to reconcile the links between agricultural land transfer policy and environmental outcomes. We urge continued research into the multidimensional and potential effects of agricultural land transfer to facilitate better-informed policy-making.

1. Introduction

1.1. Background

Land tenure security encompasses the economic aspect of landholders’ ability to sustain themselves from the land, as well as the legal aspect of protecting their rights to use and benefit from it without fear of dispossession or infringement by others (Higgins et al., 2008; Ma et al., 2013) [1,2]. It is a crucial determinant of environmental and socio-economic outcomes in rural China (Yang et al., 2021) [3]. It has been linked to improved agricultural productivity and the provision of vital environmental services. This includes bolstering soil security (Tamasang, 2022; Yan et al., 2020) [4,5], encouraging sustainable farming practices (Yang et al., 2021) [3], and inducing climate change adaptation (Murken and Gornott, 2022; Wang et al., 2021) [6,7].

Incidentally, China’s agricultural productivity is significantly challenged by land-related issues such as urbanization, industrialization, and infrastructure development, which lead to land loss (Liu et al., 2009) [8], degradation (Nkonya and Mirzabaev, 2016; Zhang et al., 2016) [9,10], and fragmentation (Xiao et al., 2021) [11]. These challenges contribute to agricultural inefficiency, ecological damage (Krusekopf, 2003) [12], economic costs, and potential environmental hazards that threaten food security and rural development. To address these issues, the Chinese government has enacted various land tenure policies to promote modern and sustainable agriculture. A comprehensive assessment of the relationship between land tenure and environmental outcomes is essential for effectively addressing these challenges and fostering sustainable agricultural development.

Since the reform and opening up policies in China in 1978, there have been significant changes in land tenure policies. Prior to the reforms, all land in China was collectively owned by rural communities or state-owned enterprises. However, with the introduction of economic reforms, there was a shift toward a household responsibility system. Under this system, individual households were granted long-term leases on land with the freedom to decide what crops to grow and how to utilize the land. The policy change aimed to enhance agricultural productivity and incentivize farmers by permitting them to keep a portion of their harvests. In recent years, the Chinese government has enacted measures to promote farmland transfer, enable the transfer of land use rights among farmers, and regulate land expropriation practices to ensure fair compensation for farmers. These policies aim to increase agricultural efficiency, consolidate fragmented land plots, promote large-scale farming operations, transform agricultural production, encourage market-oriented farming, address rural-urban disparities, promote eco-friendly agriculture, and accommodate the country’s changing economic landscape.

1.2. Land Tenure Systems in China and Other Selected Countries

The agricultural land tenure system of China differs from those in other countries such as India, Brazil, Europe, and the US. In China, all land is state-owned. However, individuals and social groups, such as farmers, farmer cooperatives, agricultural enterprises, and associations, are granted land use rights for a fixed period through the transfer of farmland contractual management rights (Li et al., 2021) [13]. This allows them to manage agricultural land and participate actively in food production. Land transfers are limited in this system, and land expropriation is common. India, on the other hand, has a complex land tenure system with multiple forms of ownership, including government-owned, private, communal, and public land (Bhagat-Ganguly, 2015) [14]. This system is further characterized by an unequal distribution of land, where large landowners dominate the agricultural sector. In Brazil, a mix of private and public land ownership exists, with large landholdings often owned by foreign corporations or wealthy elites. The country has a history of conflicts over land use and land reform efforts (Hall and Branford, 2003) [15]. In Europe, land tenure systems vary between countries, but many have a long history of family ownership of land, with small to medium-sized farms dominating the agricultural sector. Regulations and policies regarding land ownership also vary widely across European countries (Linz, 1976) [16]. The US predominantly relies on private land ownership, with the majority of farmland owned by families or individuals (Smith, 2020) [17]. Land markets are well-developed, and land often serves as collateral for loans. While there are some similarities across countries, each country’s agricultural land tenure system reflects its unique history, culture, and political economy, resulting in different approaches to land ownership, use, and management.

The rural land tenure challenges in China share similarities with those in other large emerging economies such as India and Brazil. These challenges include issues related to unequal land distribution, lack of formal land rights for rural inhabitants, disputes over land use, and the need for sustainable agricultural development. In all three countries, there is a pressing need to address these challenges to ensure social equity, economic development, and environmental sustainability. However, the specific historical, cultural, and legal contexts of each country lead to unique manifestations of these challenges. For example, in India, the caste system has historically influenced land ownership and access (Bhagat-Ganguly, 2015) [14], while in Brazil, land concentration issues and conflicts with indigenous communities play a significant role (Hall and Branford, 2003) [15]. Land tenure policies are an integral aspect of a country’s governance, balancing the interests of various stakeholders. In recent years, China has implemented a comprehensive approach known as “Main Function Oriented Zoning” to rationalize land use across the nation (He and Liu, 2012; Ye et al., 2016) [18,19].

This strategy involves categorizing land into distinct classes based on their intended functions, such as industry, agriculture, and nature preservation. Each class is associated with specific incentives and restrictions to guide the appropriate utilization of land resources. The objective behind this zoning system is to optimize land use by striking a delicate balance between promoting economic development and ensuring environmental protection and sustainability (He and Liu, 2012; Ye et al., 2016) [18,19]. By designating specific designating specific areas for industrial purposes, others for agricultural activities, and allocating regions for nature conservation, China aims to enhance efficiency, mitigate environmental impacts, and foster sustainable development.

Additionally, in 2014, China adopted the “Three Right System”, which delineates farmers’ rights on agricultural land into three categories: land ownership rights, land contract rights, and land management or use rights (Ma et al., 2013) [2]. Figure 1 shows the separation of the three rights system in China. Farmers are permitted to transfer only the land management or use rights to other farmers through a lease agreement for a set term, usually 30 years, in exchange for payment or other forms of compensation to the collective owner (Tian et al., 2021) [20].

In China, agricultural land is under rural collective ownership; farmers have the right to contract for the management of agricultural land, which can be transferred (Wu, 2002) [21]. Social organizations, such as farmers’ cooperatives, agricultural enterprises, and agricultural associations, can pay to transfer farmland from farmers to obtain the right to manage the land for a certain period of time. These social groups, through the transfer of farmland contractual management rights, have the legal basis to manage agricultural land and participate in food production in accordance with the country’s agricultural land tenure system. This process allows for the transfer of land use rights from one party to another. Collectives retain ownership rights, while farmers hold contract rights; neither is transferable to a third party. Therefore, this review specifically refers to the transfer of land management or use rights to other farmers as agricultural land transfer.

The Rural Land Contract Law of the People’s Republic of China defines agricultural land transfer as the transfer of contractual management or use rights of farmland through exchange, rental, or subcontracting. Farmers transferring their contracted agricultural land (agricultural land transfer-out) to other farmers or operators (agricultural land transfer-in) do so through various mechanisms such as subcontracting, leasing, swapping, exchanging, and investing while adhering to relevant land-related laws of the country. In this case, “agricultural land transfer-in” refers to farmers who acquire or receive farmland from other parties, while “agricultural land transfer-out” refers to farmers who transfer their farmland to other parties.

According to a 2016 report by the Food and Agriculture Organization (FAO) of the United Nations, terms such as agricultural land transfer, agricultural land circulation, farmland transfer, land transfer, rural land transfer, agricultural land consolidation, and land reallocations are frequently used interchangeably. The management of the land ultimately rests with the households or entities that acquire the land use rights. They are responsible for carrying out agricultural activities such as farming, cultivation, and agricultural production on the transferred land. Participation in the agricultural land transfer system is voluntary rather than compulsory. It provides an opportunity for farmers to adjust their land use according to their needs, including renting out excess land, exchanging land with others, or subcontracting land to other farmers. Farmers can optimize their land resources, increase efficiency, and potentially improve their income by implementing the agricultural land transfer system. However, it is important to note that there are regulations and procedures in place to ensure proper implementation. For instance, farmers involved in agricultural land transfer-in are bound by strict regulations prohibiting the alteration of transferred land use without government consent, ensuring ecological sustainability. The trust and stability inherent in agricultural land transfer transactions stem from the protection of agricultural land transfer-out farmers’ contracting rights through land title certificates. By prohibiting the alteration of transferred land use without government consent, the regulations aim to prevent activities that could have negative environmental impacts. For example, the regulations may restrict farmers from converting agricultural land into non-agricultural uses such as industrial or residential development, which can lead to habitat loss, soil degradation, and other ecological disruptions. This paradigm has led to the emergence of large-scale farmers whose ecological practices are under scrutiny. These regulations differ across various regions in China, with local governments overseeing and managing the process.

1.3. The Purpose of Agricultural Land Transfer in China

The purpose of the agricultural land transfer policy is to facilitate the efficient use of land resources, promote sustainable agriculture, and encourage moderate-scale agriculture by achieving economies of scale and specialization. In China, moderate-scale agriculture refers to farming operations that achieve optimal resource utilization within a specific range, resulting in the lowest production cost and maximum economic benefits (Xu et al., 2019) [22]. By consolidating smaller farms and promoting efficient resource use, moderate-scale agriculture creates an agricultural economy of scale. This allows farmers to benefit from the advantages of larger-scale operations, leading to increased efficiency, competitiveness, and profitability. Moreover, agricultural land transfer solves the problems of optimization and a combination of production factors, such as land, labor, capital, technology, and information, thereby increasing agricultural production and economic efficiency while boosting farmers’ income.

Particularly, agricultural land transfer enhances the agricultural economy, ensures food security, prevents land abandonment, and promotes rational land use while increasing farmers’ income. Additionally, it supports modern agriculture, revitalizes the countryside, and ultimately drives the development of the national economy (Tong et al., 2020; Huang et al., 2011) [23,24]. Encouraging efficient land utilization, the policy seeks to optimize agricultural practices and ensure the long-term viability of the sector. With the emergence of market economics, agricultural land transfer has become an essential element of agricultural modernization, industrialization, and intensification in China (Fei et al., 2021) [25]. Moreover, agricultural land transfer serves as a means of introducing land use rights to the market (Li et al., 2021; Zhou et al., 2022) [13,26]. Hence, agricultural land transfer is a fundamental aspect of promoting agricultural development in China (Zhang et al., 2012; Zhang et al., 2020; Ou and Gong, 2022;) [27,28,29], especially given the implementation of rural area revitalization, targeted poverty alleviation, environmental protection, and other developmental strategies during the current phase of social transformation.

1.4. The Negative and Positive Impacts of Agricultural Land Transfer on the Environment

Recently, there has been increasing attention paid to the environmental impact of agricultural land transfer. Agricultural land transfer has both positive and negative effects on the environment. On the positive side, it encourages farmers to adopt environmentally friendly practices such as reducing chemical fertilizer usage (Wu et al., 2021) [30] and implementing soil and water conservation measures (Lu and Jia, 2018) [31]. Farmland transfer in China promotes environmentally friendly agricultural practices, including reducing chemical fertilizer usage, through various mechanisms. Chemical fertilizers have been widely recognized for their harmful effects on the environment, including soil degradation, water pollution, and the release of greenhouse gases. Agricultural land transfer is committed to encouraging the adoption of sustainable agricultural methods that minimize the use of chemical fertilizers (Wu et al., 2021) [30]. Through agricultural land transfer, farmers are encouraged to explore alternative and eco-friendly mechanisms, such as organic farming, crop rotation, and cover cropping, to preserve soil fertility and decrease dependence on synthetic fertilizers. Similarly, regulatory mechanisms (measures), such as restrictions, guidelines, or penalties related to fertilizer use, also discourage excessive chemical fertilizer usage.

Additionally, agricultural land transfer also promotes the use of soil and water conservation techniques, which have a big positive impact on the environment (Lu and Jia, 2018) [31]. These methods involve practices such as contour farming, terracing, and planting trees along waterways. Contour farming changes the way crops are planted on slopes, which helps to cut down on soil erosion and the loss of important nutrients. Terracing, on the other hand, creates steps or levels on hillsides to stop soil erosion and landslides. Planting trees along waterways is another important practice, as it helps clean pollutants from the water and decrease the build-up of sediment, ultimately enhancing water quality and lowering the risk of flooding.

However, agricultural land transfer also has negative environmental consequences. Conversely, large-scale farmers often compensate for the labor transferred through agricultural land transfer by applying more chemical fertilizers, leading to environmental pollution while increasing production profits (Zhou et al., 2022; Cheng et al., 2022) [26,32]. Currently, China has become the world’s largest emitter of NH3 due to the increasing application of chemical fertilizer resulting from agricultural modernization with the assistance of agricultural land transfer (Paulot et al., 2014) [33]. As a big agricultural country, chemical fertilizers play a crucial role in the Chinese food production sector (Xiao and Kang, 2021; Li et al., 2013) [11,34]. Wu et al. (2021) [30] found that agricultural land transfer-driven agricultural-scale operations tend to increase fertilizer use for food crops, resulting in ecological damage. Additionally, capital accumulation and investment in agricultural inputs such as fertilizers can be a factor driving increased fertilizer use by those renting the land. This can be especially true for larger-scale farms that have more resources to invest in these inputs. Furthermore, the transfer of non-adjacent plots exacerbates land fragmentation, hinders economies of scale, and raises the costs of using organic fertilizers (Zhou et al., 2022) [26]. These negative outcomes are primarily attributed to unclear ownership rights, arbitrary agricultural land transfer practices, inadequate information systems, and rising transaction costs associated with farmland. Additionally, it is important to recognize that the process of implementing agricultural land transfer and clarifying ownership rights can be complex and may not always address all underlying issues. Challenges may arise due to factors such as incomplete or inconsistent documentation, disagreements over compensation, or changes in land use policies. Therefore, while agricultural land transfer is intended to mitigate the negative outcomes associated with unclear ownership rights, it may not completely eliminate all related issues. Continued efforts and effective implementation of agricultural land transfer policies are crucial to address any remaining challenges and ensure a more stable and efficient agricultural sector in China.

The growing agricultural land transfer market has significantly influenced agricultural ecology, as highlighted by Tang and Hu (2021) [35]. Specifically, agricultural land transfer can affect the input of agricultural production materials and subsequently influence agricultural carbon emissions. In terms of this relationship, agricultural chemical factors associated with agricultural land transfer have been found to promote agricultural carbon emissions. Agricultural chemicals such as fertilizers are known to promote carbon emissions, while the use of agricultural machinery has an inhibitory effect. This suggests that when farmers engage in agricultural land transfer, there may be an increase in the use of agricultural chemicals, leading to higher carbon emissions in agricultural activities. On the other hand, the input of agricultural machinery factors, which can be influenced by agricultural land transfer, has been observed to have an inhibitory effect on agricultural carbon emissions (Zhang Q. et al., 2022) [36]. This implies that when agricultural land transfer occurs, there may also be a potential decrease in the use of agricultural machinery, resulting in lower carbon emissions in agricultural practices. As carbon dioxide levels continue to rise, studies by Ying and Chen (2022) [37] and Guo et al. (2022) [38] emphasize the increasing vulnerability of the environment to adverse effects caused by agricultural land transfer. Moreover, research indicates that farmers prefer to use chemical fertilizers under small-scale land production, leading to water pollution due to erosion and sedimentation (Zheng et al., 2022) [39]. When fertilizers are over-applied or not properly managed, they can contribute to soil erosion and sedimentation, especially in areas where there is limited vegetation to hold the soil in place. During rainfall or irrigation, the eroded soil, along with any excess fertilizers, can be washed into nearby water bodies, leading to water pollution. Therefore, the link between agricultural land transfer, small-scale farming, the use of chemical fertilizers, and water pollution can be attributed to the potential mismanagement of fertilizers in the context of changing agricultural practices, which can result in environmental degradation, particularly in terms of water quality.

1.5. The Objective and Contribution of This Systematic Review

Several review articles have investigated various aspects of agricultural land transfer. For instance, Ou and Gong (2022) [29] examined the factors influencing agricultural land transfer, while Xie et al. (2023) [40] explored the relationship between rural land titling and agricultural land transfer in China. Abatechanie et al. (2022) [41] studied the socio-economic effects of agricultural land transfer. Additionally, Huang et al. (2016) [42] focused on the scale of farming operations resulting from agricultural land transfer. These reviews primarily addressed factors influencing agricultural land transfer, its implementation, and its socio-economic impacts, with limited attention given to its environmental implications. Consequently, there remains a significant gap in understanding how agricultural land transfer specifically impacts the agro-ecological environment.

This systematic review is the first comprehensive examination of the environmental implications of agricultural land transfer in China. It aims to elucidate the underlying mechanisms by which agricultural land transfer influences pro-environmental agricultural practices, including soil and water conservation, agricultural carbon reduction efficiency, and the application intensity of organic and inorganic fertilizers. Additionally, this review investigates the potential negative environmental effects associated with agricultural land transfer and explores the behavior of large farmers toward eco-friendly practices. The findings from this systematic review provide valuable insights for policymakers, enabling them to consider the environmental consequences of land tenure decisions. Moreover, our research contributes to bridging the existing knowledge gap regarding the relationship between land tenure changes, environmental protection, and food security. Ultimately, we aim to support future research endeavors in this field.

2. Materials and Methods

2.1. PRISMA Method

This systematic literature review used Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) framework, as developed by Page et al. (2021) [43]. This framework ensured scientific rigor by establishing well-defined research questions and appropriate inclusion and exclusion criteria for selected studies (Higgins & Green, 2008; Jahan et al., 2016) [1,44]. The PRISMA framework consists of six principles: scoping, planning, identification and search, screening articles, eligibility assessment, and presentation and interpretation (Moher et al., 2009) [45]. This study followed a structured, step-by-step process to achieve its intended goal of analyzing the effect of agricultural land transfer on the environment. By utilizing the PRISMA framework, the review ensured a high level of scientific quality, transparency, and rigor.

2.2. Determining the Scope

The objective of this review paper is to examine the environmental impact of agricultural land transfer in China. This study highlights various indicators related to agricultural land transfer, such as large-scale farmers’ practices of soil and water conservation, efficiency in reducing agricultural carbon, intensity of organic and inorganic fertilizer application, contribution of agricultural land transfer toward environmental pollution, role in modifying local climate patterns, and its effect on biodiversity and ecosystem services. Our review focuses primarily on rural household agricultural land transfer, whether transferring to or from other households, though there are transfers occurring between rural and urban areas. Articles regarding factors influencing agricultural land transfer were excluded unless they delivered indirect impacts on the environmental outcomes of agricultural land transfer. This study also investigates the role and strategies of agricultural land transaction institutions, cooperatives, and other stakeholders involved in implementing land tenure policies with a focus on sustainable environmental practices.

2.3. Literature Search

Web of Science and Scopus databases were used to ensure a rigorous peer-review process and select articles from indexed journals and reputable sources. Although studies on agricultural land transfer’s effect on the environment are not limited to only these two databases, they provide top peer-reviewed journals with high-impact factors in the field of land tenure policies. Web of Science and Scopus are scholarly literature databases that index articles from journals, conference proceedings, and books across different disciplines. They both offer citation-tracking features to help researchers understand the impact of their work. Web of Science indexes articles from over 12,000 journals, while Scopus covers over 76 million records from more than 24,000 peer-reviewed journals, conference proceedings, and trade publications, with a focus on scientific, technical, and medical fields. These two databases serve as important resources for researchers to discover, access, and analyze scholarly literature and are widely used in academic institutions and research organizations around the world.

The search was conducted in winter 2023 using the same key terms for both databases. The search string used for Web of Science is TS = ((“Farmland” OR “Agricultural land” OR “Arable land” OR “Cultivated land” OR “Cropland” OR “Farming area” OR “Rural land”) AND (“Transaction” OR “Transfer” OR “Exchange” OR “Marketing”) AND (“China”)). The search string used for Scopus databases is TITLE-ABS-KEY ((“Farmland” OR “Agricultural land” OR “Arable land” OR “Cultivated land” OR “Cropland” OR “Farming area” OR “Rural land”) AND (“Transaction” OR “Transfer” OR “Exchange” OR “Marketing”) AND (“China”)).

After the initial search, articles were screened by title and abstract to ensure relevance to the environmental impacts of agricultural land transfer in China, with a focus on agricultural land transfer-in and -out. Following detailed analysis, the articles were categorized into two groups based on their depiction of either positive or negative environmental effects of agricultural land transfer. Positive effects included the impact of agricultural land transfer on soil and water conservation, straw and organic fertilizer application, and agricultural carbon reduction efficiency. Negative effects encompassed the impact of agricultural land transfer on creating a polluted environment, modifying local climate patterns, biodiversity loss, and ecosystem service loss. Thus, this study utilized a thorough and robust search process to ensure that only high-quality, relevant literature was considered in the analysis of the environmental effects of agricultural land transfer in China.

2.4. Inclusion and Exclusion Criteria

Participants in this systematic review were limited to studies conducted in China. The review primarily focused on examining studies that investigated specific outcomes associated with agricultural land transfer, with a particular emphasis on both positive and negative environmental effects. Regarding positive outcomes, the review assessed pro-environmental agricultural practices such as soil and water conservation, agricultural carbon reduction efficiency, and the intensity of organic and inorganic fertilizer application. On the other hand, potential negative environmental outcomes of agricultural land transfer were explored by analyzing the behavior of farmers under agricultural land transfer in relation to eco-friendly practices. As for the timeline, studies conducted and published from 2014 to 2023 were chosen for this systematic review. This is because the aforementioned “Three Right System” has been implemented since 2014. Moreover, only peer-reviewed journal articles from prestigious journals were considered, while conference papers, proceedings, and other non-journal articles were excluded to ensure high quality and reliability. This review study exclusively included original articles published in English to avoid confusion when translating non-English articles.

3. Results

3.1. Search Results

This systematic literature review involved the retrieval of 1234 studies from Web of Science and Scopus databases. Additionally, no additional records were included from other sources. After removing duplicate records, a total of 666 unique studies remained. Following the screening process of titles and abstracts, 216 records were included for further assessment, while 92 were excluded. Further exclusions were made based on criteria such as non-peer-reviewed status, not being conducted in China, and not being in English, resulting in 124 full-text articles eligible for evaluation. Of these, 64 articles were excluded due to their lack of focus on agricultural land transfer and the environment, leaving 60 articles that met the inclusion criteria for analysis. Among the included articles, 27 reported a positive effect of agricultural land transfer on the environment, while 33 indicated a negative effect. Figure 2 shows the PRISMA flow diagram, which provides a visual representation of the screening and inclusion process. This rigorous selection process ensured that only the highest quality research directly related to the environmental impacts of agricultural land transfer was included in our systematic review. Our approach provides a comprehensive and nuanced understanding of the topic and enables us to draw robust conclusions that can inform future research and policy development. By focusing specifically on the environmental impact of agricultural land transfer, our review contributes to the broader literature on land use change and biodiversity loss and can inform efforts aimed at promoting sustainable development practices.

3.2. Research Focus Area

The focus of this research was to investigate the potential positive or negative effects of agricultural land transfer on the environment. Figure 3 illustrates the various environmental indicators impacted by agricultural land transfer, including soil and water conservation measures, organic fertilizer application, reduction of chemical fertilizer application, environmental pollution, modification of local climate conditions, and ecosystem service and biodiversity loss. Specifically, the selected articles analyzed how agricultural land transfer affects each of these indicators, providing a comprehensive understanding of the environmental implications of land tenure change.

3.3. Spatial, Temporal, and Methodological Distribution of Literature

The analysis of the temporal distribution of articles shows a growing interest in studying the impact of agricultural land transfer on the environment and agricultural production systems. The largest number of articles (17) were published in 2022, followed by 13 in 2021 and 5 in 2020. This highlights that research on the impact of agricultural land transfer on the environment is an emerging area that has gained significant attention since the Chinese government introduced three farmland rights in 2014.

Out of 59 articles, 28.9% investigated a single province each, limiting their representation to specific areas. Meanwhile, 65.8% were conducted nationwide and can be considered representative of the entire country. A small number of articles (5.3%) focused on two provinces. Overall, the spatial distribution of the included articles indicates that the impact of agricultural land transfer on the environment has not been extensively studied in various parts of the country. The majority of the reviewed articles adopted a quantitative approach using household data from primary and secondary sources. 40% used quantitative methods, while 28% used qualitative methods. A total of 32% used a mixed approach. However, some articles lacked adequate multidimensional data, affecting the study’s robustness and was cited as a limitation. Future research should develop a methodology that considers the impact of agricultural land transfer on various agro-ecological indicators.

The review shows that the effect of agricultural land transfer on environmental pollution in China is the most prominent area, accounting for 22% of the articles. The impact of agricultural land transfer on local climate conditions and the ecosystem in China account for 13.6% and 20.3%, respectively. Agricultural land transfer also reduces the use of chemical fertilizers in 18.6% of the articles while facilitating the use of organic fertilizers in 13.6% of the articles and enabling soil and water conservation practices in 11.9% of the articles. Agricultural land transfer has a negative impact on the environment in China, according to 55% of the reviewed articles. It increases pollution, causes loss of biodiversity and ecosystem services, and modifies local climate. However, 45% of the articles show that agricultural land transfer has a positive impact on the environment by enabling soil and water conservation practices, reducing chemical fertilizer use, and promoting organic fertilizer use.

3.4. Positive Effects of Agricultural Land Transfer on Environment

3.4.1. Effect of Agricultural Land Transfer on Application of Organic Fertilizer

Of the total articles included in the review, 15% report that agricultural land transfer increases the application of organic fertilizer to maintain agricultural sustainability.

Table 1. Findings based on the analysis of the positive impacts of agricultural land transfer on the environment.

Pro-Environmental Agricultural Practices	Key Findings	Analysis	Main Studies
Soil and water conservation practices	▪ Agricultural land transfer can have both positive and negative effects on a range of soil and water conservation practices. ▪ Agricultural land transfer has a significant direct impact on the implementation of terraced fields, plastic film usage, and afforestation. However, it appears to have no direct impact on the adoption of water-saving irrigation techniques. ▪ The length of the land transfer period has a direct and significant impact on the adoption of various agricultural practices.	▪ The area of agricultural land transfer and the duration of agricultural land transfer have an influence on farmers’ decisions to adopt soil and water conservation measures.	(Lu and Jia, 2018; Syabeera et al., 2020) [31,48]
Chemical fertilizer application	▪ The expansion of agricultural land transfer results in an increase in land size and, subsequently, a reduction in the intensity of fertilizer use, which is only significant for food crops and not for cash crops. ▪ The impact of agricultural land transfer on the intensity of fertilizer application is not noteworthy in the eastern region of China, with the greatest effect observed in the western region. ▪ Promoting farmers’ participation in agricultural land transfer can aid in the mitigation of non-point source pollution in agriculture.	◆ After agricultural land transfer, the size of the land appears to have an impact on farmers’ decisions regarding the application of chemical fertilizer. ◆ The impact of agricultural land transfer on the application of chemical fertilizer is dependent on the crop type and varies across different regions. ◆ The transfer of non-adjacent land can exacerbate land fragmentation and result in environmental issues.	(Wu et al., 2021; Lu and Jia, 2018); Cheng et al., 2022) [30,31,32]
Organic fertilizer	▪ The utilization of organic fertilizer is not prevalent among large-scale farmers. ▪ The average size of transferred land plots and the length of land lease terms have a positive and significant impact on the likelihood and degree of large-scale grain-growing households utilizing organic fertilizer. ▪ The quantity of transferred land plots and instances where agricultural land transfer contracts are terminated prior to the end of the lease term negatively affect the likelihood and extent of large-scale grain-growing households adopting the use of organic fertilizer. ▪ Promoting the use of organic fertilizer amongst large-scale farmers is imperative for enhancing the quality of agricultural land transfer, which includes establishing contiguous agricultural land transfer and enhancing the stability of land management rights during the transfer process.	◆ The area of transferred land and the duration of agricultural land transfer have an impact on farmers’ adoption of organic fertilizer.	(Li and Shen, 2021; Zhou et al., 2022; Lu et al., 2019) [13,26,49]
Agricultural carbon reduction efficiency	▪ Agricultural land transfer has had a significant and positive impact on promoting China’s agricultural carbon reduction efficiency, with significant effects observed in the eastern and central regions but not in the western region. ▪ The large-scale operation of farmland had a partial and non-linear mediation effect on the relationship between land circulation and China’s agricultural carbon reduction efficiency. ▪ The promotion of agricultural land transfer directly contributes to the low-carbon transformation of agriculture in China, but excessive large-scale operation of agricultural land may impede progress toward achieving carbon reduction efficiency. ▪ Agricultural land transfer optimizes the allocation of land resources. Agricultural land transfer promotes the realization of carbon emissions reduction targets and gives rise to sustainable agriculture.	◆ Alternative agricultural land transfer practices are associated with improved agricultural carbon efficiency. This is an important consideration when exploring ways to reduce carbon emissions in the agricultural sector.	(Tang and Hu, 2021; Song et al., 2021) [35,50]
Straw application	▪ The rental of land has been found to have a positive impact on the adoption of pro-environmental agricultural practices (PAPs), such as straw application. ▪ Improving farmers’ awareness of agricultural land protection policies can be accomplished by enhancing information channels and extension services. ▪ This study finds that farmers’ understanding of agricultural land use policy is significantly and positively associated with the adoption of Pro-Environmental Agricultural Practices (PAPs).	◆ Alternative agricultural land transfer and farmers’ understanding of agricultural land-related policies are crucial factors in stimulating the adoption of pro-environmental agricultural practices.	(Hong and Lou, 2022) [51]

presents the findings-based analysis of the positive impacts of agricultural land transfer on the environment. The study by Ntakirutimana et al. (2019) [46] observed that large-scale farms owned by knowledgeable and financially resourced farmers tend to apply organic fertilizer more intensively than small-scale farmers. However, agricultural land transfer-in farmers face higher rental costs compared to farming their own land. This increase in land rental costs can affect farmers’ decisions to adopt soil conservation techniques, as higher rental costs reduce farmers’ disposable incomes, making it difficult for them to invest in additional inputs such as soil conservation techniques. Furthermore, agricultural land transfer allows for a reduction in chemical fertilizer application, which facilitates the increasing use of farmyard manure, organic fertilizer, and formulated fertilization through soil testing (. The creation of stable land rights through agricultural land transfer guarantees intertemporal gains, and it is believed that such stability prompts farmers to choose organic fertilizers over chemical fertilizers to protect cultivated land (Gao et al., 2017) [47]. Stable land rights, achieved through agricultural land transfer, can provide farmers with a sense of security and long-term access to the land, encouraging them to make sustainable choices. This includes the adoption of organic fertilizers as a means of protecting cultivated land, as they are seen as more environmentally friendly and promote soil health over time. Factors such as a long-term investment perspective, market demand for organic products, and supportive policies play important roles in influencing this choice by providing farmers with security, aligning practices with market demands, and offsetting potential higher costs associated with organic fertilizers.

Extending the agricultural land transfer period is conducive to encouraging large-scale grain-growing households to adopt organic fertilizer technologies. Li and Zeng (2022) [52] found that extending the land lease period during agricultural land transfer can increase the probability of using organic fertilizer by 3.16%. By extending the land lease period, farmers gain a sense of security and stability in their land tenure. This longer-term commitment allows them to make investments in their farming operations, including adopting organic fertilizer technologies. It is likely that farmers perceive organic fertilizers as a more sustainable and beneficial choice for their land in the long run. This perception may stem from both environmental concerns and the potential for improved soil health and crop yields. Such maximization capability provides farmers greater leeway to make long-term investments and further encourages them to cultivate in an environmentally friendly manner (Zhang et al., 2022) [36].

3.4.2. Effect of Agricultural Land Transfer on Application of Soil and Water Conservation Practices

Of the total articles reviewed, 11.7% indicate that agricultural land transfer facilitates the adoption and implementation of various soil and water conservation practices in agricultural land. For instance, Soule et al. (2000) [53] revealed that higher land rentals resulting from agricultural land transfer are positively associated with the adoption of soil formula fertilization and straw return technologies, which improve soil quality. Li and Huo (2022) [54] found that farmers who pay land rentals due to agricultural land transfer are more likely to invest in soil conservation than those who pay zero rentals. Furthermore, their study indicated that land rental rates reflect soil quality, and empirical results show that for every 1% increase in land rentals, farmers’ investment in organic fertilizer increases by 1.7%. This suggests that higher land rentals associated with agricultural land transfer can encourage large-scale farmers to adopt soil conservation technologies.

Large-scale farmers in China who acquire farmland have a greater interest in soil conservation practices than smaller farmers due to their significant investments in land and machinery. This incentivizes them to protect and improve farmland quality for long-term productivity and profitability. They can afford to adopt advanced technologies and practices, such as modern irrigation systems, precision agriculture techniques, and soil testing, and have access to more resources and networks to stay updated with the latest soil conservation practices. Large farmers are also subject to stricter regulations and market demands for environmentally friendly production, emphasizing the importance of soil conservation practices in maintaining their reputation as responsible agricultural operators. Land rentals can also act as a price signal, indicating that land transfer-in farmers are optimistic about income expectations, further facilitating the adoption of soil conservation technologies (Ge et al., 2022) [55].

Moreover, higher land rentals indicate better land quality and are more conducive to encouraging soil conservation among large-scale farmers (Ge et al., 2022) [55]. The moderating effect suggests that land rentals due to agricultural land transfer promote soil conservation inputs by large-scale farmers through the land lease term. Furthermore, agricultural extension services can positively influence the promoting effect of the land lease term on large-scale farmers’ soil conservation. Additionally, higher agricultural subsidies resulting from land transfer increase the enthusiasm of large-scale farmers to adopt soil conservation technologies. Higher education levels also increase the likelihood of large-scale farmers adopting soil conservation technologies (Ge et al., 2022) [55].

3.5. Effect of Agricultural Land Transfer on Reducing Chemical Fertilizer Application

The articles reviewed in this study indicate that 18.3% show agricultural land transfer influences the application of chemical fertilizers, reducing their excessive use on agricultural farms. For example, Wesenbeeck et al. (2021) [56] analyzed the relationship between land management scale and farmers’ chemical fertilizer input due to agricultural land transfer. They found that with the expansion of farmers’ land management scale, the amount of fertilizer input decreased rapidly due to agricultural land transfer. The excessive and inefficient utilization of chemical fertilizers in China is a grave concern (Wu et al., 2021; Xiang et al., 2020) [30,57]. According to the Chinese national statistics data in 2021, China used around 308 kilograms of fertilizer per hectare (kg/ha), which exceeds the developed world’s standard safety limit of 225 kg/ha. Farmers play a critical role in China’s agricultural production, and the amount of fertilization is the outcome of individual rational decision-making among farmers (Zhou et al., 2022; Hu et al., 2019) [26,58]. The reduction of chemical fertilizer use and the achievement of sustainable agricultural development goals are dependent on transforming farmers’ production behavior through agricultural land transfer (Ren et al., 2019; Wehmeyer et al., 2020) [59,60]. Wesenbeeck et al. (2021) [56] discovered that as farmers’ land management scale expanded, there was a rapid decrease in fertilizer input due to agricultural land transfer. The larger the scale of cultivated land management from agricultural land transfer, the lower the amount of chemical fertilizer applied per hectare. Specifically, for every 1 hectare increase in the average grain sown area per household, the fertilizer application per hectare decreased by 20.6% (Song and Ye, 2022) [61]. Additionally, Akpan et al. (2012) [62] found that a unit increase in the farm size due to agricultural land transfer reduces the possibility of adopting high chemical fertilizers by 13.23%.

Agricultural land transfer can also reduce chemical fertilizer application by creating off-farm employment opportunities, allowing households to generate income through non-agricultural activities. This minimizes farmers’ dependence on agriculture and reduces the need for intensive chemical fertilizer application; agricultural land transfer addresses this by creating income-generating opportunities outside of farming (Lang et al., 2022) [63]. According to recent research conducted by Wu et al. (2021) [30], the process of agricultural land transfer consolidates smaller land parcels into larger farms, potentially decreasing fertilizer use in food crops, though not necessarily in cash crops. This suggests that the impact of agricultural land transfer on eco-friendly agricultural production may vary based on the crop type.

Outsourcing programs supporting agricultural land transfer, such as agricultural socialized services, incentivize farmers to reduce chemical fertilizer use by offering financial incentives, training, information access, and market opportunities, thus promoting sustainable agriculture. Agricultural land transfer is a key strategy for promoting the reduction of chemical fertilizer. Zhang et al. (2022) [36] found that the increasing farmland size due to agricultural land transfer significantly reduces the use of chemical fertilizers in agricultural production. This is partly attributed to agricultural land transfer facilitating the scale management effect, reducing farmers’ costs of acquiring new technology and knowledge, awakening their ecological consciousness, and motivating them to adopt clean production methods, thus reducing the use of chemical fertilizers. Agricultural land transfer can also reduce the intensity of chemical fertilizers used in corn production by leveraging economies of scale for farmers who transferred into farmland in a centralized manner (Cui et al., 2022) [64].

3.6. Negative Effects of Agricultural Land Transfer on the Environment

3.6.1. Effect of Agricultural Land Transfer on Environmental Pollution in China

The majority of articles included in the review (21.7%) reveal that agricultural land transfer causes environmental pollution and distortion.

Table 2. Findings based on the analysis of the negative impacts of agricultural land transfer on the environment.

Negative Effect of Agricultural Land Transfer	Key Findings	Analysis	Main Studies
Environmental pollution	▪ Intensification of industry structure due to agricultural land transfer can generate air pollutants which can cause environmental pollution due to pollutants from industries. ▪ Land transfers in Xinjiang have a significant promotion effect on the amount of chemical fertilizer applied by farmers, which leads to water pollution due to eutrophication of water bodies. ▪ In 2019, the average application of chemical fertilizer in China was 54.035 million tons due to agricultural land transfer, and approximately 40% of it was lost to the environment, causing serious environmental pollution.	◆ Agricultural land transfer causes environmental pollution by facilitating industrialization. ◆ Agricultural land transfer causes environmental pollution by increasing chemical fertilizer application. ◆ Agricultural land transfer involves excess use of chemical fertilizer, which causes environmental pollution	(Wang et al., 2015; Song and Huang, 2023; Mao et al., 2021) [69,70,71]
Biodiversity and ecosystem service loss	▪ Application of agricultural land transfer as means of modernizing agriculture caused increase in economic and social functions of land, while ecological functions decreased. ▪ Agricultural land transfer affects the quality and quantity of water supply and biodiversity composition. ▪ It also affects the normal hydrological cycle since it involves significant land use change. ▪ The monitory value ecosystem service values are decreasing from time to time due to increasing agricultural land transfer. ▪ Areas used for agriculture as a result of agricultural land transfer provide low ecosystem service and biodiversity content compared to other land use types.	◆ Agricultural land transfer can diminish the ecosystem services that the land can provide for human beings. ◆ Transfer of agricultural lands can affect the services obtained from the ecosystem and biodiversity composition. ◆ Ecosystem service quality and quantity are decreasing as a result of agricultural land transfer. ◆ Land use change as a result of agricultural land transfer causes loss of biodiversity and ecosystem services.	(Xue and Zhen, 2018; Zhuge et al., 2023; Wang et al., 2022; Nie et al., 2023) [72,73,74,75]
Modifying local climatic conditions	▪ Land finance due to agricultural land transfer significantly increases carbon emissions, whereas a 1% growth in land finance due to agricultural land transfer will lead to a growth of 0.148% in carbon emissions. ▪ Agricultural land transfer has a more positive impact on PM2.5 concentrations; for every 1 hectare of agricultural land transfer, PM2.5 concentrations increase by 0.054 micrograms per cubic meter. ▪ Urban heat gradually enhances as the urban environment develops due to agricultural land transfer, which causes migration, and an increasing trend of surface air temperature is usually noted in local observation series in comparison with trends at nearby rural stations. ▪ Urbanization due to agricultural land transfer can also impose a considerable influence on the temporal–spatial pattern of extreme precipitation.	◆ Agricultural land transfer modifies local climatic conditions by increasing carbon dioxide concentration within the locality. ◆ Agricultural land transfer increases PM2.5 concentrations, which causes local climate modification. ◆ Agricultural land transfer modifies local climate by affecting surface temperature trends. ◆ Agricultural land transfer causes variability in local climate by affecting rainfall patterns.	(Xu and Zhang, 2016; Song and Feng, 2021; Ren and Zhou, 2014) [76,77,78]

presents the findings based on the analysis of the negative impacts of agricultural land transfer on the environment. Inefficient allocation of land resources can severely impair economic and social development, as well as the ecological environment. Jurzyk and Ruane’s (2021) [65] study exhibited that the misallocation of construction land resources in Chinese cities reduces industrial enterprise productivity. Similarly, Adamopoulos et al. (2017) [66] indicated that when land is misallocated through transfer, it constrains more productive farmers, thereby reducing agricultural productivity in China. Additionally, Peng et al. (2022) [67] used Chinese city and industry-level data, demonstrating that land resource misallocation via transfer inhibits China’s industrial structure upgrade. Moreover, Han et al. (2022) [68] employed panel data from 266 Chinese prefecture-level cities across 2004–2017, illuminating that land resource misallocation through transfer curtails urban innovation.

The transfer of agricultural land in China can significantly affect environmental pollution. When small-scale farmers transfer land to larger commercial operations, there may be an increased use of chemical fertilizers and pesticides, leading to unsustainable farming practices that contribute to soil erosion and water pollution (Tesfaye et al., 2021; Chen et al., 2018; Smith and Siciliano, 2015) [79,80,81]. Additionally, converting agricultural land for non-agricultural purposes, such as industrial or urban development, can result in habitat loss, deforestation, and the release of pollutants into the air and water. These activities can exacerbate environmental pollution, including air, water, and soil degradation, posing risks to ecosystems, human health, and overall sustainability. While land reform and promotion of agricultural land transfer have mainly focused on boosting agricultural productivity, this study exhibits that agricultural land transfer could also curb rural pollution by diminishing fertilizer applications. Reducing fertilizer usage is vital in lessening rural pollution and upholding food security. Agricultural land transfer considerably lowers fertilizer application intensity while simultaneously augmenting farm size and farmers’ machinery usage. Nevertheless, the only aspect leading to a reduction in fertilizer application intensity is the increase in land size (Wu et al., 2021) [30].

3.6.2. Effect of Agricultural Land Transfer on the Ecosystem Service and Biodiversity Loss

Of the articles included in the review, 20% reveal that agricultural land transfer causes loss of ecosystem services and biodiversity. The intensification of agricultural practices resulting from agricultural land transfer can have detrimental effects on ecosystem services and biodiversity. One major consequence is the decline in soil health. The increased use of fertilizers, particularly chemical fertilizers, can lead to soil acidification and nutrient imbalances (Li et al., 2023; Qi et al., 2022) [82,83]. This disrupts the natural nutrient cycles and hampers the ability of plants to absorb essential nutrients, ultimately reducing crop productivity. Moreover, excessive fertilization can result in the accumulation of toxins in the soil, which can harm plant growth and inhibit the presence of beneficial microorganisms that contribute to soil fertility. Consequently, the resilience of ecosystems is compromised, affecting their capacity to provide vital ecosystem services.

Water quality in China is also at risk due to agricultural land transfer, as agricultural land transfer-in farmers use excessive chemical fertilizer in their large-scale farmland (Li and Shen, 2021) [13]. Excessive fertilization and pesticide use can lead to nutrient runoff and contamination of water bodies (Cui et al., 2022) [64]. The excess nutrients, such as nitrogen and phosphorus, promote the growth of harmful algal blooms, leading to eutrophication. This depletes oxygen levels in the water, negatively affecting aquatic organisms and disrupting the balance of the ecosystem. When pesticides are washed into waterways, they can harm non-target species, including fish, amphibians, and aquatic invertebrates, through direct toxicity or by altering their reproductive and behavioral patterns. This loss of biodiversity in aquatic environments can have cascading effects on the functioning of the ecosystem and its ability to provide services such as water purification.

Furthermore, agricultural land transfer harms ecosystem services through the direction of agricultural land consolidation (ALC). Zhong et al. (2020) [84] found that ALC increases trade-offs between soil conservation and carbon storage, as well as between crop production capacity and carbon storage. ALC has impacted the interactions and trade-offs between different ecosystem services such as provisioning services (food, water, timber, and raw materials), regulating services (climate regulation, water purification, flood control, and carbon sequestration), cultural services (recreation, aesthetics, cultural significance, and education), and supporting services (soil formation, nutrient cycling, pollination, and habitat provision). Additionally, according to a study by Wang et al. (2015) [69], ALC was found to negatively affect ecosystem services, resulting in an almost 30% decrease in their total value during the late stage of consolidation. This decline is primarily due to the loss of wetland and grassland ecosystem services despite an increase in cultivated land. They also found that ALC could alter ecological connectivity and land use structure, with up to 85% of the area experiencing low connectivity during the late stage of consolidation, indicating a 6.23% increase in total coverage compared to the pre-consolidation period. These findings suggest that agricultural land transfer-based land consolidation measures can have both positive and negative effects, requiring careful management for sustainable land use and ecosystem service provision.

4. Discussion

Agricultural land transfer is perceived as a vital policy initiative to improve the efficiency of small-scale agriculture and address issues regarding land scarcity by utilizing the scale effect (Yuan and Wang, 2022) [85]. The scale effect refers to the idea that increasing the size of agricultural operations can help overcome limited land resources. By consolidating smaller land parcels into larger, more efficient farms, economies of scale can be achieved, leading to improved productivity and resource utilization. This approach enables farmers to access advanced technology, implement efficient practices, and gain bargaining power. Leveraging the scale effect can optimize land use, reduce costs, enhance productivity, and promote sustainability. However, its effectiveness varies based on local factors, and potential social and environmental implications must be considered.

Additionally, agricultural land transfer offers farmers the chance to engage in environmentally friendly agricultural practices. Table 1 presents evidence of growing interest in studying the role of agricultural land transfer in mitigating environmental pollution from agriculture in China. However, there is a considerable research gap examining how the size of agricultural land obtained through farmland transfer influences farmers’ attitudes toward eco-friendly agricultural production. Few studies have quantified and observed the impact of agricultural land transfer on the environment, with research articles disproportionately distributed throughout China. For example, out of the eleven studies surveyed, four were conducted in distinct provinces, one involved a sample from seven provinces, and only two analyses utilized nationwide samples. Therefore, there is still a need for extensive investigation into unexplored areas.

This study focuses on investigating the potential impact of agricultural land transfer on reducing carbon emissions, conserving soil and water, promoting straw application, and optimizing fertilizer use. Previous studies examining the relationship between agricultural land transfer and fertilizer use have primarily focused on the behavior of large-scale farmers in terms of fertilizer intensity. The research findings indicate that agricultural land transfer decreases fertilizer use only in food crops but not in cash crops by creating large farms (Wu et al., 2021) [30]. This underscores the importance of agricultural land transfer in reducing environmental pollution and ensuring food security. Large-scale farmers can mitigate agricultural non-point source pollution by decreasing nitrogen availability in the soil while also enhancing profits through Pareto optimality of inputs by reducing input costs (Cheng et al., 2022) [32]. Farmers who have undergone agricultural land transfer and acquired larger land holdings may tend to use more fertilizer. This could result from their need to offset the opportunity cost of diverting labor from smaller plots to larger farms. By using more fertilizer, these farmers may aim to maximize productivity and compensate for the increased demand for labor on the larger farms. Moreover, the substitution effect is more significant for farmers who cannot provide appropriately scaled inputs, such as large agricultural machinery.

Studies examining the impact of agricultural land transfer on environmentally friendly agricultural practices have primarily focused on the behavior of large-scale farmers using organic fertilizer, straw application, and soil and water conservation practices. Besides creating large-scale farmland, non-adjacent agricultural land transfer practices involve transferring land between non-adjacent plots, resulting in fragmented land holdings that hinder achieving economies of scale in farming operations by not consolidating neighboring parcels. This non-adjacent agricultural land transfer exacerbate land fragmentation, eliminating economies of scale and increasing the cost of using organic fertilizers (Zhou et al., 2022) [26]. Furthermore, they argued that failure to comply with the contract would prevent large-scale farmers from using organic fertilizers. Hong and Lou (2022) [51] explored the influence of agricultural land transfer on straw application by integrating farmers’ knowledge of farmland protection policies. They discovered that agricultural land transfer-in has a favorable impact on pro-environmental agricultural practices, with the effect being more significant among farmers who understand farmland-related policies.

Agricultural land transfer promotes the implementation of soil and water conservation measures, which are contingent upon the specific measures, transferred land area, period of farmland transfer, and level of farmer coordination. The size of the transferred farmland may enhance terrace utilization, mulching, and afforestation but undermine the use of water-saving irrigation techniques (Lu and Jia, 2018) [31]. However, the relevance of their evidence may vary depending on local policies, environmental conditions, and socio-economic factors, which can significantly impact the applicability of the findings. For instance, in regions with abundant water resources, the negative impact on water-saving irrigation techniques observed in the study may have differing significance compared to regions facing water scarcity. The agricultural land transfer period has a direct influence on all measures—the longer the agricultural land transfer period, the more likely soil and water conservation measures are applied. Furthermore, they argue that collective action among farmers in the form of cooperatives significantly mediates the effect of the agricultural land transfer area on terrace utilization, afforestation, and water-saving irrigation techniques.

Similarly, collective action positively influences the effect of the agricultural land transfer period on terrace utilization and water-saving irrigation, suggesting that it plays a positive role in the impact of agricultural land transfer on these practices. This might be the specific context of the study area, as factors such as social and economic conditions, resource availability, and institutional arrangements can influence the effectiveness of collective action. Other factors, such as credit access, land tenure security, and technological advancements, may also affect the relationship between agricultural land transfer and terrace utilization, warranting further research.

Several studies have explored the relationship between agricultural land transfer and the reduction of carbon emissions. For instance, Jahan et al. (2016) [44] found that agricultural land transfer significantly enhanced agricultural carbon reduction efficiency, with varying effects across regions, with the eastern and central regions showing higher effects than the western regions. The study also revealed that the partial mediating effect of scale operations induced by agricultural land transfer had a non-linear correlation with agricultural carbon reduction efficiency. They cautioned that although agricultural land transfer encourages farmers to engage in low-carbon agricultural practices, it is essential to safeguard against agricultural carbon emissions from excessive farmland expansion. They emphasized that moderate farmland scale management plays a pivotal role in the implementation of low-carbon agriculture. Additionally, agricultural land transfer can reduce carbon emissions by preserving the intensity of agriculture (Tang and Hu, 2021) [35].

Numerous studies demonstrate that agricultural land transfer plays a significant positive role in promoting environmental protection while enhancing food security. However, the extent of its impact depends on various factors, including the scale of farmland resulting from farmland transfer, the quality of the transferred farmland, the stability of agricultural land transfer rights, collaborative actions of stakeholders involved in the transfer process, land use change after the transfer, the duration of agricultural land transfer, and farmers’ knowledge of farmland policies. Therefore, this study strongly urges policymakers to consider mediating factors to ensure a harmonious relationship between agriculture and the environment through agricultural land transfer. Thus, policymakers incorporate the links between agricultural tenure policies and pro-environmental agricultural practices by providing incentives, access to information channels, and extension services to the large farmers established by agricultural land transfer. However, most of the included studies reported the exclusion of intermediary factors such as transaction costs as a limitation, which may impact the quality of agricultural land transfer and its operations, consequently affecting agricultural land transfer outcomes.

Agricultural land transfer significantly impacts urban settlement intention, as it drives small landholders to migrate to urban areas. It also partially mediates the effect on agricultural carbon emissions by influencing the input of agricultural materials. The use of chemical fertilizers in modern agriculture can emit gases that contribute to environmental pollution. Moreover, applying synthetic fertilizers on a large scale triggers acid rain, which damages biodiversity and ecosystem services (Xie et al., 2019; Xu and Zhang, 2016; Xu et al., 2016) [76,86,87].

Agricultural land transfer exacerbates air pollution in urban areas by causing land resource misallocation, which hinders government technology input. Land resource misallocation has a significantly positive correlation with air pollution. In other words, land resource misallocation can contribute to the increase in air pollution in urban areas. Technological innovation, government technology input, and foreign direct investment partially mediate the relationship between agriculturally oriented land resource misallocation exacerbates and urban air pollution. Land resource misallocation worsens urban air pollution by impeding technological innovation, restricting government investment in technology, and hindering foreign direct investment (Xie et al., 2023) [40].

Agricultural pollution may rise due to agricultural land transfer, particularly when it results in the consolidation of farmland under large-scale farmers. These farmers often rely on intensive farming practices, including the excessive use of chemical fertilizers, to maximize yields and profits. As they expand their landholdings, they are inclined to apply higher amounts of fertilizer to crops, potentially leading to nutrient runoff and water pollution. Additionally, the adoption of large-scale machinery in these consolidated farms contributes to increased carbon emissions from fuel consumption, further exacerbating environmental impacts. Thus, agricultural land transfer can indirectly contribute to the intensification of agricultural pollution due to large-scale farmers using excessive fertilizer and relying on mechanization. This underscores the importance of sustainable agricultural practices and environmental regulations to mitigate these adverse effects.

Agricultural land transfer in Brazil also has complex environmental effects (Maciel et al., 2020) [88]. It often leads to deforestation, habitat loss, and soil degradation due to intensified farming practices (Latawiec et al., 2017) [89]. This expansion can also strain water resources and degrade water quality through increased irrigation and runoff pollution. Carbon emissions may rise from land use changes, though sustainable practices on transferred lands can mitigate this. Additionally, land transfers sometimes encroach on indigenous territories, threatening both cultural and biological diversity. However, consolidation of land may also promote efficient and sustainable farming techniques, which can have positive environmental impacts if properly implemented. Balancing these outcomes requires careful planning and robust regulations.

5. Conclusions

Agricultural land transfer is a policy aimed at transforming agrarian societies from small-scale to moderate and large-scale agricultural operations. The role of agricultural land transfer in promoting agricultural resource use efficiency and encouraging farmers to adopt pro-environmental practices cannot be overstated. This systematic study reveals that the impact of agricultural land transfer on farmers’ enthusiasm for eco-friendly agricultural practices is increasingly recognized. However, only a few notable studies have been conducted in this research area. The literature review indicates that further research is necessary to expand the temporal and spatial distribution of the available studies.

The methodology used in the reviewed articles lacks relevant data, affecting the overall robustness of the findings. We recommend that future researchers construct a comprehensive approach integrating multiple factors that directly or indirectly influence the impact of agricultural land transfer on the environment. Specifically, the available literature primarily focuses on the impact of agricultural land transfer on large farmers related to soil and water conservation, agricultural carbon reduction, and substituting chemical fertilizers with organic fertilizers and straw applications. Further research is needed in areas that have not been extensively studied, such as the impact of agricultural land transfer on the adoption of clean technology, pesticide and insecticide application, and other green agricultural practices.

Based on the review, it can be concluded that agricultural land transfer in China has had significant positive and negative effects on the environment. Certain articles included in this study suggest that agricultural land transfer has contributed positively toward the adoption of soil and water conservation practices, reducing agricultural carbon emissions, promoting straw, and encouraging the use of organic fertilizers. However, it was also found that agricultural land transfer has had negative impacts on the environment, including environmental pollution, degradation of biodiversity and ecosystem services, and modification of local climate conditions. Given that the adoption of agricultural land transfer is increasing in China, there is a need for strategies and action plans to mitigate its negative impacts while promoting sustainable and environmentally friendly agricultural production.

Moreover, this study found that agricultural land transfer leads to an increase in atmospheric levels of greenhouse gases, resulting in environmental pollution. Additionally, the modernization of agriculture with synthetic fertilizers can lead to acid rain and pollution in many parts of China (Mahankale et al., 2023) [90]. Furthermore, agricultural land transfer can disrupt ecosystem services and biodiversity by altering land use and land cover systems. The review also suggests that agricultural land transfer modifies the local climate, mainly due to increased urbanization and demographic disturbances resulting from smallholder migration to urban areas. These findings highlight the need for policymakers to consider the negative impact of agricultural land transfer and implement strategies that promote modern agriculture through agricultural land transfer while minimizing its environmental impacts. Land user rights in the country should also be taken into account in this context.

The initial step toward promoting sustainable development involves local governments playing a crucial role in land resource allocation. They should design land supply policies that align with the region’s economic endowments and development goals. Market-driven land supply reforms need to be enhanced, and efforts should be made to optimize the ratio between industrial and commercial land while minimizing adverse environmental impacts. By undertaking these measures, local governments can promote sustainable land use practices that support economic development.

In addition to the aforementioned measures, local governments must acknowledge the negative externalities of environmental degradation and strive to promote land supply policies that support innovative and eco-friendly businesses. This can be achieved by fostering an environment that encourages innovation and entrepreneurship while also taking steps to mitigate the negative effects of agricultural land transfer on biodiversity, ecosystem services, and local climates. It is vital to adhere to the principle of tailoring policies to local conditions rather than adopting a “one-size-fits-all” approach toward land governance. Local governments can promote sustainable development that prioritizes both sustainable economic growth and environmental protection.

Despite providing valuable insights, this systematic review has several limitations. It relies exclusively on articles from the Web of Science and SCOPUS databases, potentially missing relevant studies from other sources. The review is subject to language bias as it only includes English publications, excluding pertinent non-English studies. Publication bias, the heterogeneity of study methodologies, and the varied temporal frames of the studies analyzed further complicate deriving a cohesive conclusion. Additionally, the review may underrepresent regional differences and the effectiveness of regulatory frameworks, focusing mainly on large-scale impacts without fully considering smallholder practices. Addressing these gaps in future research could yield a more comprehensive understanding of the environmental impacts of agricultural land transfer in China.