The soil basic fertility is low in the farming land at Yaner Gully watershed, especially in the recently built terrace lands. The soil organic matter, total N, available N and P, and CEC are all relatively low, and also the soil enzymatic activity. The available K is mediate. The soil nutrient and enzymatic activity in the dam land is relatively higher, but still in the low level which limited the crop productivity and agriculture development. The efficient way to improve soil fertility is to input large amount of organic matter, return crop straw into farmland, and plant fertility-improving crops.