Abstract: This article researches the relationship between China's agricultural prices and CPI. First, this article reviews the research about this subject, then we do empirical analysis on the relationship between agricultural prices and the based on the principles of economics and former research.Second,we select the time series data, to build a suitable VAR model to analysis the relationship between agricultural producer prices and the CPI, and then add the Granger causality test to improve test results. With the help of experience and empirical analysis,we do qualitative and quantitative analysis on the relationship of agricultural prices and CPI .At last, we give some recommendations on the policies.