The organization nature of Xinjiang Production and Construction Corps was determined and limited by their mission of both border defence and the frontier’s cultivation and development.The position of the organization led to conflicts between the economic interests and the social cost due to the provision of public goods,so that the corps had a high cost and the farm workers bear heavily.As a result,the sustainable development is difficult to maintain.Setting up public financial system and reorganizing the corps are helpful in reducing the borne social cost and realizing its sustainable development.The concrete measures include:accelerating the division system,turning the corps into parts of the municipal government,increasing system reform,realizing the separation between the XPCC farms and the society,between management and production,strengthening the socialization and marketization of social services,streamlining the institutions of the corps,laying off redundant staff,implementing the policies of the central government to benefit the XPCC farmers,increasing the income of farmers,constructing long effect mechanism,developing the characteristic agriculture,promoting agricultural industrialization,optimizing the industrial structure adjustment,developing a new city type of border defence and cultivation.