Young farmers welcome farm sales

Matamata Young Farmer and 50/50 sharemilker Sophia Clark is appreciative of any opportunity to get into farm ownership.

The CEO of NZ Young Farmers is applauding the Government's announcement that Landcorp farms will be offered to young farmers.

Terry Copeland said National's plans to give young New Zealand farmers the option of leasing farms before buying them was fantastic news with many of the organisation's members increasingly frustrated at the significant barriers they face to own land.

"This will offer an amazing opportunity for young people at a time when entry into farm ownership is becoming out of reach in today's farming climate," Mr Copeland said.

Primary Industries Minister Nathan Guy said National would direct Landcorp to offer farms for sale to young farmers as there was no clear public good coming from Crown ownership, with little financial return to taxpayers.

Under the proposed policy, young farmers would have to work the land for five to 10 years, after which they could lease the farms before buying them.

While not all of Landcorp's 140 farms will be sold due to Treaty claims and right of first refusal for iwi, some of the larger farms will be divided up into smaller units that are more appropriate for first-time owners.

It is thought that the policy will help around 100 young farmers onto the land - something Mr Copeland believes is vital to the future of the agri-sector.

"The rising cost of land has significantly limited opportunities to a younger generation of would-be farmers and has threatened to dissolve the family farm succession business model which has been the backbone of New Zealand agriculture.

"We applaud any initiative that will support and encourage young farmers into farm ownership and hope that more initiatives will follow."

NZ Young Farmer member and Matamata 50/50 sharemilker Sophia Clark (pictured) said the policy would provide an amazing opportunity, particularly for those wanting to enter the sheep and beef industry.

Ms Clark said she was originally a shepherd but entered the dairy industry and is sharemilking 270 cows alongside her partner because it was the only way to try to get onto the farm ownership ladder.

"But even those opportunities are drying up. In 2016 only 17 per cent of dairy farms were run by 50/50 sharemilkers - down from 22 per cent in 2006."

While the Landcorp option was welcomed, Ms Clark did have some questions around how it would work practically, particularly working for five to 10 years on a single property before being offered the ability to lease it.

"And I do have questions as to why Landcorp has not previously been providing a pathway to land ownership through sharemilking - whether it be contract milking or a 50/50 arrangement.

"But this is a great opportunity and hopefully one in which NZ Young Farmers will be an important part of the ongoing discussions on how the policy will be implemented, to ensure the best outcomes for our next generation of farmers, who seek to own their own patch of dirt."