Farm restructuring in the ex-GDR: towards a new farm model?

This article examines farm restructuring in the ex-GDR since reunification in 1990. In particular, attention is focused on four types of farm businesses that can be grouped into two broad groups: family farms and farm partnerships (both private farm business types) and corporate and cooperative farms. Both groups have attracted interest and comment because of the contrasting farming models that they represent, the former reflecting the West German family farm model and the latter with its similarities to the GDR large farm model. The article considers the starting point for restructuring, the framework in which it has occurred, with special reference to the privatisation of nationalised farmland, and examines the geographical outcomes in terms of the emerging farm structure and the competitiveness of different farm types. It is concluded that family farms and farm partnerships have been the main ‘winners’ of the restructuring process, but that corporate/cooperative farming has proved to be a resilient part of the farm structure. As a result, a varied farm structure has emerged that has the potential to be highly competitive within Germany and Europe. However, over-regulation by the government, especially in the case of privatisation of nationalised farmland, has delayed completion of the process, and may hinder competitiveness.