Liangshan Yi Autonomous Prefecture is the place in China with the largest population there are about 1. 54 million, of the Yi ethnic group living in this compact community. Until the democratic reform in the beginning of the 1950s, this area was still governed as a brutal slave society. It had low production, the method of agriculture was slash-and-burn. The reform and opening policy being implemented in China led to the great changes taken place in this region. Some of these changes have led to the awareness of market economy for the local people. As a result, a number of basic industries have taken shape with strong local flavor. These changes are, in part, to help with the development of agriculture through better management and planning. Various other economic activities associated with technological cooperations with the outside world have opened markets for the abundant natural resources which up to now have not been fully developed. Liangshan Yi Autonomous Prefecture is the place in China with the largest population there are about 1. 54 million, of the Yi ethnic group living in this compact community. Until the democratic reform in the beginning of the 1950s, this area was still governed as a It had low production, the method of agriculture was slash-and-burn. The reform and opening policy being implemented in China led to the great changes took place in this region. Some of these changes have led to the awareness of market economy for the local people. As a result, a number of basic industries have in shape with strong local flavor. These changes are, in part, to help with the development of agriculture through better management and planning. have long been established