Farm succession: Why older farmers are delaying retirement

In South Canterbury, New Zealand, the winter kale crops blow in the cold wind. But instead of being out moving fence breaks, Graham Peck, 70, and his wife Sharon, 68, can enjoy the view from the warmth of their home. They are among a growing number of older farmers delaying retirement, a trend that is creating significant challenges for farm succession.

For the Pecks, the decision to continue farming is influenced by financial considerations and the desire to ensure their son, Duncan, and his family have a stable future. "We're not going to retire until we can afford to, and we've got a succession plan in place," Sharon Peck told RNZ. This sentiment is echoed across the country, where many seasoned farmers are holding on to their land longer than anticipated.

The delay in retirement is not solely about financial security. It also stems from a lack of suitable successors or the inability to find buyers for their farms. This situation puts immense pressure on younger farmers eager to enter the industry or expand their operations. The agricultural sector relies on a steady flow of generational transfer to maintain productivity and innovation, and this bottleneck threatens that crucial transition.

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We're not going to retire until we can afford to, and we've got a succession plan in place.