FARM SUCCESSION AND AGEING OF...
Transcript of FARM SUCCESSION AND AGEING OF...
![Page 1: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/1.jpg)
FARM SUCCESSION AND AGEING OF FARMERS
A CHALLENGE TO SUSTAINAB IL ITY IN C ASEE REGION
Michal Lostak & Lukas Zagata
Czech University of Life Sciences Prague
15-16 May 2017 | The 8th International Conference CASEE | Warsaw University of Life Sciences
![Page 2: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/2.jpg)
BACK TO AGRARIAN QUESTION
• The questions of the future of farms
(small-scale farms and large scale
farms in capitalism):
• K. Kautsky: Agrarian question (what is
the future of small-scale family farms)
![Page 3: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/3.jpg)
![Page 4: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/4.jpg)
PROBLEMS OF FARM SUCCESSION AND AGEING (A CASE STUDY)
![Page 5: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/5.jpg)
![Page 6: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/6.jpg)
WHO WILL OPERATE THE FARM IN THE FUTURE?
![Page 7: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/7.jpg)
AGEING AND SUSTAINABILITY
What are the impacts of ageing on
sustainability of agriculture?
• Generational renewal as a
precondition for social sustainability
of agriculture
• More profitable farms are operated
by young farmers
• Young farmers as carriers of
environmental innovations
![Page 8: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/8.jpg)
HOW URGENT IS THE AGEING
New concerns: population of farmers in Europe is ageing
Source: Eurostat (2015)
“Bringing generational renewal fully into the policy mainstream
cannot happen without the support system of a strong and
targeted rural development policy.”
EU Commissioner Phil Hogan (EC, 2017)
Year Less than 35 years of age 55 years and above
2013 5.94% 54.92%
![Page 9: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/9.jpg)
WHAT IS RELATED TO AGEING?
• ‘Ageing population of farmers’ is associated with the …
• Farm Succession
• ‘Young farmers’ question
• New entrants to agriculture
• Policy tools focused on generational renewal
• Impacts on agricultural sector
• Sustainability of agriculture
![Page 10: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/10.jpg)
DECONSTRUCTING THE PROBLEM
POLICY
INTERVENTION
AGEING
POPULATION
OF FARMERS
SUSTAINABILITY
INNOVATIONS
STRUCTURAL
CHANGES IN
AGRICULTURE
EFFICIENCY
FAR
M SU
CC
ESS
ION
ENTRY
PROBLEM
EXIT
PROBLEM
ENTRY
PROBLEM
EXIT
PROBLEM
FAR
M SU
CC
ESSIO
N
AGEING
POPULATION
OF FARMERS
![Page 11: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/11.jpg)
HOW URGENT IS AGEING?
Year Less than 35 years of age 55 years and above
2005 6,89 54,10
2007 6,23 55,47
2010 7,45 53,19
2013 5,94 54,92
Source: Eurostat (2015); European Commission (2016)
Distribution of farm holders according to age categories
![Page 12: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/12.jpg)
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK] [OBLAST BUNĚK]
[OBLAST BUNĚK] [OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK] [OBLAST BUNĚK]
[OBLAST BUNĚK]
[OBLAST BUNĚK]
20,0
30,0
40,0
50,0
60,0
70,0
80,0
0,0 2,0 4,0 6,0 8,0 10,0 12,0 14,0
55 y
ear
s an
d a
bove
[%
]
Percentage of farm holders in the age category 35 years and less
Source: Eurostat (2015); European Commission (2016)
![Page 13: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/13.jpg)
AGEING AS A SOCIAL PROBLEM
• Ageing of population of farmers is not an ubiquitous
problem in Europe
• Generational renewal does not proceed equally
• European countries provide different conditions for
encouraging young farmers (with diverse impacts)
How to understand the process of generational turnover (academic
perspective) and facilitate the transition (policy perspective)?
![Page 14: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/14.jpg)
FARM SUCCESSION
• Generational renewal is closely related to family farm
succession
• Family farms represent 97% of all farms in Europe (EP, 2014)
• Holdings are passed within a family due to enormous amount of
investment (Fischer and Burton, 2014)
• Farm succession process includes the ‘entry to’ as well as the ‘exit
from agriculture’
![Page 15: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/15.jpg)
THE ‘YOUNG FARMER’ PROBLEM
‘Do you know how one becomes a farmer? He must be born on a farm
and he cannot find anything else during its life.’
(Zagata and Lostak, field notes: Farm G)
www.modernfarmer.com
![Page 16: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/16.jpg)
HOW ARE FARMS TAKEN OVER
• Farm transfer includes (1) inheritance, (2) succession and
(3) retirement (Gassson and Errington, 1993)
• Succession patters are affected by individualization
(Chiswell, 2016)
• Factors affecting succession (Fischer and Burton, 2016)
• Structural factors (such as farm size, profitability, on farm
diversification, transaction costs, …)
• Social factors (personal preferences, subjective values, level of
education, inter-generational relations)
![Page 17: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/17.jpg)
SUCCESSION AS A HOLISTIC PROCESS
• ‘Endogenous cycle of the family farm’
coined by Fischer and Burton (2014)
• Farm succession is based on three stages:
1. Forming a baseline of the social identity
2. Successor climbs the ‘farm ladder’
3. Farm itself is undergoing major changes
• Life cycle of the family is coupled with the
life cycle of the farm on endogenous basis
![Page 18: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/18.jpg)
FARM SUCCESSION IN THE POST-SOCIALIST COUNTRIES
• Generational renewal follows a specific historical trajectory
• 1st generation of farmers had to (1) restore ‘script of continuity’ and (2) secure a successor
• More successful were families with a strong peasant tradition
• Closely tied to land
• Shared work across generations
• Education and work in agriculture
• Less affected by available policy measures
Collectivization 1950s
Restitutions 1990s
Family farm succession
2010s
![Page 19: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/19.jpg)
CONCLUSIONS
• Ageing of farmers is a complex problem, which is not ubiquitous
• Structure of the agricultural sectors
• History and tradition
• Succession patterns (entry and exit problem)
• More evidence from different countries to
• Understand specific patterns of generational renewal
• Evaluate the implemented policy measures
• Improve future policy tools
![Page 20: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/20.jpg)
REFERENCES
Chiswell, Hannah M. 2016. From Generation to Generation: Changing Dimensions of Intergenerational Farm Transfer. Sociologia Ruralis: n/a-n/a. doi: 10.1111/soru.12138.
European Commission (EC). 2016. CAP Context indicators – 2016 context indicators update. Accessed on 13 April 2017 at: https://ec.europa.eu/agriculture/cap-indicators/context_cs
European Commission (EC). 2017. Phil Hogan speech at the joing ENRD/CEJA Workshop – 25th January 2017, Brussels. Accessed 13 April 2017 at: https://ec.europa.eu/commission/commissioners/2014-2019/hogan/announcements/speech-commissioner-phil-hogan-joint-enrdceja-workshop-25th-january-2017-brussels_en
EP. 2014. CAP 2014-2020 Tools to Enhance Family Farming: Opportunities and Limits. Accessed 13 April 2017 at: http://www.europarl.europa.eu/RegData/etudes/note/join/2014/529051/IPOL-AGRI_NT(2014)529051_EN.pdf.
Eurostat, 2015. Farm structure survey 2013. Accessed 13 April 2017 at: http://ec.europa.eu/eurostat/statistics-explained/index.php/Farm_structure_survey_2013_-_main_results
Fischer, H. and R. J. F. Burton. 2014. Understanding Farm Succession as Socially Constructed Endogenous Cycles. Sociologia Ruralis 54: 417-438. doi: 10.1111/soru.12055
Gasson, R., Errington, A. J. 1993. The farm family business: CAB International.
Kautsky, K. 1988. Agrarian Question. Zwan Publications.
Modern Farmer. 13 awesome old time farm kids pics. Accessed 13 April 2017 at http://modernfarmer.com/2013/11/old-time-farm-kids/
Zagata, L., Lostak, M. Farm-succession of the first post-socialist generation in the Czech Republic. Manuscript for publication.
Zagata, L., Sutherland, L.-A., 2015. Deconstructing the 'young farmer problem in Europe': Towards a research agenda. Journal of Rural Studies 38, 39-51.
![Page 21: FARM SUCCESSION AND AGEING OF FARMERScasee.boku.ac.at/images/stories/CASEE_pdfs/2017_Warsaw/...AGEING AS A SOCIAL PROBLEM •Ageing of population of farmers is not an ubiquitous problem](https://reader033.fdocuments.in/reader033/viewer/2022042320/5f0a04dc7e708231d4299edc/html5/thumbnails/21.jpg)
QUESTIONS?
Michal Lostak ([email protected]) Department of Humanities
Faculty of Economics and Management
Czech University of Life Scinces Prague
Czech Republic
Lukas Zagata ([email protected]) Department of Humanities
Faculty of Economics and Management
Czech University of Life Scinces Prague
Czech Republic