- Importance and extent of pluriactivity on New Zealand farms
- Farm viability, farm family income and sustainable agriculture
General Conclusions
Importance and extent of pluriactivity on New Zealand farms
The research provides in-depth information on alternative enterprises across a broad range of livestock and cropping farms. It confirms the extent and importance of pluriactivity for New Zealand farm families, previously established in research on off-farm employment4. Perhaps most surprising in the study findings is the relatively high level of off-farm employment amongst the farms with alternative enterprises. These households are involved in pluriactivity that provides income from multiple sources. The two activities of off-farm employment and non-agricultural enterprise are not mutually exclusive. The current emphasis being placed by farmers on alternative sources of income can be traced back to the 1980s agricultural restructuring. Other factors at work include social change in relation to the status and economic activity of women, and the high levels of tertiary education amongst farmers with alternative enterprises.
Farm viability, farm family income and sustainable agriculture
The research establishes links between farm viability and farm family income, in the context of sustainable agriculture. The mix of economic activity undertaken by a farm household will depend on the natural, economic and personal resources available to them, external factors such as commodity prices, costs of capital, and the labour market, balanced against personal needs. Development of alternative enterprises on farms will be one component of the resulting mix of economic activity.
There is a strong relationship between farm viability and sustainable agriculture. Whereas farm viability is the immediate, short-term concern of any farmer, sustainable agriculture is a more complex question to be addressed by the wider community. In the face of short-term economic trends, such as the reduction in farm surpluses being experienced by many farmers in the mid 1990s, farmers will look to alternative means to maintain their household income, through farm diversification or other employment and enterprises. Alternative sources of farm household income, can enhance the goal of sustainable farming systems. Whereas productivity "gains", or even holding productivity in the face of bio-physical factors such as pests or a difficult period climatically, can turn out to be a short-term expediency that results in environmental degradation.
The part that multiple economic activities can play in enhancing farm viability and farm family income (particularly by reducing pressure on farm drawings and assisting with debt repayment), is affected by the position of the farm couple in the farm and family cycle. Young farmers building their ownership and equity are often involved in off-farm employment. Farm development and child rearing, on the other hand, make it difficult to engage in additional activities. The enterprise farmers tended to be well into their life cycles, with well developed properties. Their financial pressures are related more to childrens’ education and looking towards meeting the costs of retirement and succession. They have time and experience to put into enterprise development.
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