Farm Succession Planning in New Zealand
More than $150 billion in New Zealand farming assets will change hands over the next decade, yet only 33% of farming businesses have a documented succession plan. Understanding how succession works, where it commonly breaks down, and the role lending can play is critical to achieving a successful transition.
Why succession represents a defining opportunity for New Zealand agriculture
Succession is more than a single event. For many farming families, it is a deeply personal journey that shapes the future of their land, business and legacy.
Over the next decade, more than half of all New Zealand farm and orchard owners will reach retirement age, creating what could be the largest intergenerational transfer of agricultural wealth in the country’s history. At the same time, the face of farm ownership is changing. Since 1996, the number of younger farm owners has declined significantly, while the proportion aged 65 and over has grown sharply. Rising land values, higher capital requirements and an ageing population are making it harder for younger generations to enter farm ownership.
With no one-size-fits-all solution, successful succession planning takes time. While the traditional model of passing a family farm directly to the next generation is under pressure, innovative succession approaches are helping families remain connected to their land while creating pathways for future generations to succeed.
What the numbers say
17,320
New Zealand agribusiness owners are expected to reach 65 over the coming decade.
36%
of farming businesses have a documented succession plan.
47%
have neither discussed succession nor started a plan.
Source: Succession 2050 (Rabobank's 2026 White Paper), Changing of the Guard (Rabobank's 2025 White Paper)
Where the process usually breaks down
No one starts the conversation
Nearly half of farming businesses have not begun discussing succession with the relevant parties.
Discussed but never documented
16% have talked it through with nothing written down, which is where most plans quietly stall.
Difficult conversations are avoided
Open and honest communication is identified as critical to successful succession, particularly when navigating different expectations, aspirations and perceptions of fairness within the family.
Source: Succession 2050 (Rabobank's 2026 White Paper), Changing of the Guard (Rabobank's 2025 White Paper), Lawrence Field Succession Case Study
Lessons for a stronger succession plan
Rabobank’s Succession Workshops have helped farming families across New Zealand navigate one of the most important conversations in their business: planning for the future. Through facilitating these workshops, Lawrence Field has worked alongside hundreds of farming families, gaining valuable insight into what helps succession discussions progress and what can cause them to stall. Here are five key lessons that have emerged from those conversations.
Source: Rabobank, Lawrence Field Succession Case Study
Register for a Planning for Succession Workshop
Rabobank is proud to provide our fully funded Planning for Succession Workshops. Whether you're just beginning, or don't know where to start, our interactive workshops provide you the tools to take the first step with confidence.
Our clients and their succession journey
Rabobank White Papers explore succession
Succession 2050
Succession is about more than planning the transfer of a farm or business. The 2026 Succession 2050 White Paper takes a broader view, exploring the economic, social and technological changes that will influence the future of New Zealand agriculture. Featuring insights from industry experts, it examines the key trends shaping the sector and the environment in which future generations will farm, lead and grow businesses.
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Changing of the Guard
Passing a farming business to the next generation is about more than transferring assets. The 2025 Changing of the Guard White Paper delves into the people, planning and decision-making involved in successful succession, highlighting why early conversations matter and how families can work together to create a pathway that supports both current and future generations.
Unlocking succession: the role of lending
Succession doesn’t happen overnight. For many farming families, the transition to the next generation is a gradual journey, with responsibility, decision-making and ownership evolving over time. The right finance structure can play an important role in making that transition possible, whether through family lending arrangements, shared-equity partnerships, staged buy-ins, or funding to support the transfer of assets. Starting the conversation early can help create more flexibility and open up a wider range of options.
Understanding your succession goals, future business plans and ownership aspirations allows lenders to work alongside you to explore solutions that support both the current and next generation. Rabobank's All In One Loan Account can help provide the flexibility to manage cash flow, reduce interest costs and support changing business needs throughout the succession journey.
Let's talk about your succession plan
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