Namibia: Transforming Agribusinesses Into Generational Enterprises

BUILDING a sustainable and reputable farming business is a journey that requires commitment, dedication, and hard work from a farmer and all teams on the farm.

On average, it takes about 10 to 20 years for one to build a highly profitable farming enterprise.

However, one of the critical concerns that most successful farmers face is a succession plan that will see the well-established agribusiness venture passed on to the next generation.

Overall, most commercial farmers have succession plans for their farming businesses, and this is no exception in Namibia.

The average age of a farmer in Namibia is 62 years old, and with agriculture being one of the main contributors to the country’s gross domestic product (GDP), it is important for those running these crucial farming ventures to ensure that such farming enterprises continue in the unfortunate case of death, or when they decide to retire.

Therefore, to transform an agribusiness into a generational enterprise, an instrumental tool that farmers can institute is a succession plan.

By definition a succession plan is the process of identifying and developing new leaders who can replace old leaders when they leave, retire, or pass on.

This is equally applicable in the case of a farming business.

A farmer has to identify potential individuals from the onset who can one day continue the management and leadership of the farm to ensure the continuity of business on the farm.