At present, ecological and environmental problems in agriculture are major constraints for the economic development of Ningxia region. The emergency of agricultural eco-environment protection industry is aimed at solving ecological environmental problems in agriculture. Not only does it serve agriculture, but also improves and creates sound ecological environment for agriculture, and protects and fully utilizes agricultural environment resources. Aimed at afore-stated conditions, the paper first discussed the connotation of agricultural eco-environmental protection industry; presented its current situation and the channels of investing in and financing the industry. By above-mentioned study, the paper then put forwarded the new mechanism of investing in and financing the industry such as establishing and perfecting the laws and regulations concerning the industry,suggested drawing up "Development Plan of Agricultural Eco-environmental Protection Industry in Ningxia" and set up the mechanism for undertaking the industry, so as to improve the sustainable development of agricultural eco-environmental protection industry in Ningxia.