Having just returned from six months in New Zealand as part of my Dairy Business degree, I am glad to see that the subject of collaborative farming has been making the headlines in Irish media in recent times.
My time in New Zealand opened my eyes to what it takes to develop a vibrant dairy industry. It involves working together to achieve a greater sum than what could be achieved individually. This principle works from the basic farm level as far as the processing and marketing of products as is clear from the success of Fonterra.
For New Zealand dairy farmers there is a typical route for career progression. The sharemilking system allows enthusiastic and hardworking young people to progress to farm ownership over a number of years. The key to the sharemilking systems success is the willingness of farm owners to share in the profit of their farms in order to allow young people to increase their equity and realise their goal of farm ownership.
The majority of farm owners progressed through the sharemilking system themselves and consider it their duty to provide opportunities for the next generation to do the same.
Sometimes when I hear people talk about the New Zealand sharemilking system I get the impression they think it makes it easy for anyone to buy a farm. This is not the case. It takes hard work and a very clear focus of where you are going and how you are going to get there.
In New Zealand, I met young dairy farmers who were saving at least two-thirds of their income every year in order to put themselves into a position where they would have equity to put into a business. This meant living very frugally and prioritising saving over spending. The initial 5-10 years of saving determined how quickly farm ownership became a reality. For those who worked incredibly hard buying a farm within 10 years was a realistic goal.
In Ireland there is no clear ladder of progression for young people who do not come from farming backgrounds or who do not stand to inherit farms. For many the belief is if that you do not inherit a farm, it is impossible to own one.
My time abroad made me realise that farm ownership is something that should be earned and not taken as a given right. It requires collaboration between young and old and a sharing of skills and resources. The combination of an older land owner who has worked hard for 30-40 years but feels they no longer have the energy or drive to progress the business with a driven, enthusiastic and highly skilled young person who is willing to work hard and invest time and money into the business can lead to a very profitable and successful outcome for both parties.
In New Zealand the “share” model is proven to work. In Ireland, it is in its infancy in the dairy industry, but I believe it is going to be the foundation of Ireland’s next period of dairy growth provided farmers are willing to open their minds to the potential collaborative farming has to offer.
- Denise Weeks




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