OXFAM'S programme director in Hong Kong has warned that economic prosperity could endanger the livelihood of residents in poorer districts.
John Sayer says that Beijing's ''blind strategy'' of attracting foreign investment could backfire.
Many villagers in the mountainous regions of southwest China, mainly unskilled minority tribal groups living far away from markets, have no advantages to offer in the competition for foreign capital.
On the contrary, runaway prices have made it more difficult for the peasants in these destitute areas to escape poverty, he said.
Mr Sayer said Xiao Li, a peasant from Shiyahou village in Yunnan, perfectly illustrated how difficult it was for peasants in these remote areas just to survive - let alone get rich.
Due to poor soil and difficult farming conditions, Mr Li has difficulty in growing enough food to support his family. Every year, he manages to squeeze the equivalent of about $200 by selling his meagre harvests in the markets.
