Abstract: The state-owned forest farm assumes a significant role in the cultivation and ecological protection of forest resources in our country. A substantial amount of research has been conducted on state-owned forest farms in state-owned forest areas. However, there is relatively less research on state-owned forest farms in collective forest areas that effectively carry out their duties and contribute to collective forest reform. As the pilot region for the collective forest ownership system reform in Fujian Province, state-owned forest farms have demonstrated an important exemplary function in serving collective forest reform and promoting high-quality development of forestry. This paper examines the internal logic and practical path of high-quality development of state-owned forest farms in Fujian Province. The findings indicate that state-owned forest farms in Fujian Province have achieved notable outcomes in sustainable forest management, integration of the three industries, and farm-village cooperation. Nevertheless, they still encounter constraints such as a single forest management model, challenges in realizing resource value, and an imperfect cooperation mechanism. Therefore, we propose three optimization approaches: establishing a modern management system and enhance the level of forest management, promoting the diversification of forest farm operations and talent incentives to boost the vitality of the forest farm; and, innovating the joint business model and deepen the benefit-sharing mechanism between farms and villages.