"Artists should not "lose themselves in the tide of market economy nor go astray while answering the question of whom to serve, otherwise their works will lack vitality," Xi said while addressing authors, actors, script writers and dancers at a symposium here yesterday.
As art has become a major commercial success in China with Chinese emerging as big collectors of art works, Xi called on artists for return of Maoist concept of socialist art saying that they not to be "slaves" of market with vulgar paintings, chasing the stench of money.
His comments came as China emerged as one of world's biggest markets with last year's transactions amounting to over USD eight billion, according to China Art and Auctioneers Association.
Xi said the status-quo of "quantity over quality" in art has created "a plateau without summits" and led to a cookie-cutter approach in production and consumption.
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"Popularity should not necessitate vulgarity and hope should not entail covetousness. Pure sensual entertainment does not equate to spiritual elation," Xi said.
Comparing Xi's statement with that of former Chairman of the People's Republic of China Mao Zedong, an editorial in the state-run China Daily said Mao had delivered a similar speech 72 years ago, emphasising that the aim of literature and art should be to serve the workers, farmers and soldiers.
"Given the background of war, Mao's speech could not have had a lighter political tone.