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The landowner role in beginning farmer/rancher land access: predictors of landowners' views of extrafamilial farm transfer to a BFR

Julia C.D. Valliant (The Ostrom Workshop, Indiana University Bloomington, Bloomington, Indiana, USA)
Stephanie Dickinson (Epidemiology and Biostatistics, Indiana University Bloomington, Bloomington, Indiana, USA)
Yijia Zhang (Epidemiology and Biostatistics, Indiana University Bloomington, Bloomington, Indiana, USA)
Lilian Golzarri-Arroyo (Epidemiology and Biostatistics, Indiana University Bloomington, Bloomington, Indiana, USA)
James R. Farmer (O'Neill School for Public and Environmental Affairs, Indiana University Bloomington, Bloomington, Indiana, USA)

Agricultural Finance Review

ISSN: 0002-1466

Article publication date: 21 December 2021

Issue publication date: 22 April 2022

141

Abstract

Purpose

Beginning farmers and ranchers (BFRs) are more likely to access land through an unrelated landowner than through family. Thus, farm and ranch owners who might transfer their land or businesses out of family are potential sources of land access for BFRs and are the most frequent participants in incentive programs to facilitate land transfer to BFRs. To assist in identifying landowners who might transfer out of family, the paper aims to explore similarities and differences between landowners according to their expectations for intra-familial versus extra-familial farm transfer.

Design/methodology/approach

Pairwise and regression analysis of USA Midwestern and Plains landowners' responses to an online survey (n = 322).

Findings

Landowners who might transfer out of family were likely to need the proceeds from a land sale to finance their retirement. Landowners' financial needs interacted with their widespread interest in transferring to a BFR such that 97% of owners who expected extra-familial transfer wanted to transfer to a BFR. There were also statistical patterns around the size of owners' landholdings in relation to their transfer plans.

Research limitations/implications

This exploratory inquiry suggests patterns for future research to examine, especially around landowners' juxtaposition of their retirement income and their interest in transferring to a BFR and how to align these priorities and values.

Originality/value

By exploring the characteristics of landowners who are the most likely to provide land access to BFRs, the authors begin to examine how to target these owners in program outreach. Patterns for further exploration point to landowners' financial needs in relation to their interest in helping a BFR to get started in agriculture.

Keywords

Acknowledgements

The authors wish to acknowledge the agricultural landowners who responded to the survey for generously sharing their experience and insight. A team of national advisors helped to guide this research; particular thanks are extended to Mary Fund, Kathy Ruhf, Wyatt Fraas, Kevin Gibson and Maria Marshall. Many thanks as well go to Dave Welsch, J.R. Brooks and Sage Danch for reviewing the data collection instruments in draft form, and to the article's two excellent anonymous reviewers.

Funding: This material is based upon work that is supported by the National Institute of Food and Agriculture, US Department of Agriculture, under award number 2016-38640-25381, through the North Central Region Sustainable Agriculture Research and Education (SARE) program under project number LNC16-377. The US Department of Agriculture (USDA) is an equal opportunity employer and service provider. Any opinions, findings, conclusions or recommendations expressed in this publication are those of the authors and do not necessarily reflect the view of the USDA.

Citation

Valliant, J.C.D., Dickinson, S., Zhang, Y., Golzarri-Arroyo, L. and Farmer, J.R. (2022), "The landowner role in beginning farmer/rancher land access: predictors of landowners' views of extrafamilial farm transfer to a BFR", Agricultural Finance Review, Vol. 82 No. 3, pp. 522-537. https://doi.org/10.1108/AFR-05-2021-0054

Publisher

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Emerald Publishing Limited

Copyright © 2021, Emerald Publishing Limited

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