Farmland prices up 5.6% in 2017
Farmland prices continued to rise in 2017, increasing by an average of 5.6%, although the pace of price increases was slower than in 2016 when they rose by 22%, a summary of data just published by the Central Statistical Office (KSH) shows.
The average price of arable land was up by 3.7% last year at HUF 1.535 mln per hectare. The price of grassland was also up by 9% at HUF 0.58 mln per hectare.
The price of vineyards rose 16.3% to HUF 2.13 mln per hectare, for orchards it was up 12% at HUF 1.61 mln per hectare and for forests it was up 12% at HUF 0.68 mln per hectare.
Last year around 73,000 hectares of land were sold in Hungary. The amount was close to that traded in 2015 and equal to one-third of the area in 2016. In that year, some 4% of all agricultural land was auctioned off as the government sold state-owned farmlands.
In 2017, most farmland (8,400 hectares) was sold in Bács-Kiskun County, followed by Szabolcs-Szatmár-Bereg County, where 7,900 hectares were sold. Farmland sales were down in all counties compared to 2016.
Data shows that 42% of cultivated agricultural land was rented out by owners last year, unchanged from 2016. The share of rentals was 55% for arable land, 42% for grasslands and 21% for vineyards and orchards.
Rental prices were also up in all categories, rising by 3-8.6% compared to 2016. The average rental price of arable land in 2017 was up 5.8% annually at HUF 52,300 per hectare.
Lenders' Home Loan Outlays at HUF 344 bln in H2 2023
Gov't Awards HUF 6.5 bln of Subsidies to SMEs in Underdevelo...
Hungary's Largest ESG Consultancy Formed by Merger of EY, De...
Liz & Chain Rooftop Bar Debuts Sustainable Cocktails
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
