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Prices of arable land in Poland are breaking records. How much per hectare in your region?

Ceny gruntów ornych w Polsce biją rekordy. Ile za hektar w twoim regionie?

The Agency for Restructuring and Modernization of Agriculture has published Central Statistical Office data on the purchase and sale prices of arable land in Poland. They show that from February 16, 2024, the official average price per hectare of agricultural land is PLN 65,301. This result was obtained from data collected from all voivodeships for the last quarter of last year.

Where is the most expensive land?

A comparison of average prices in individual regions of the country shows that the most expensive land is in Greater Poland, where the average price is currently PLN 86,414/ha. It is cheapest in the West Pomeranian Voivodeship, where the average rate is PLN 34,719/ha. In Lower Silesia, the average price is PLN 49,337/ha, in the Lubelskie Voivodeship – PLN 53,274, in Mazovia – PLN 63,288, in the Kuyavian-Pomeranian Voivodeship – PLN 71,401, in the Lubuskie Voivodeship – PLN 38,310, in the Łódź Voivodeship – PLN 60,572, in Lesser Poland – PLN 53,815, Opole Voivodeship – PLN 64,524, Podlasie – PLN 64,127, Podkarpacie – PLN 40,100, Pomerania – PLN 56,983, Silesia – PLN 52,290, Świętokrzyskie Voivodeship – PLN 40,848, and Warmian Voivodeship -Masurian – PLN 60,552.

Good land at a price

However, these are only overall averages. For arable land with soils of classes I-IIIa we have to pay about 10-15 thousand more per hectare. In Greater Poland, the average rate for such land is PLN 105,460/ha, and in Kuyavian-Pomeranian Voivodeship – PLN 89,122/ha. Farmers from the Lubelskie (PLN 80,698), Masovian (PLN 80,831) and Opole (PLN 82,714) voivodeships also have to pay over PLN 80,000 for 1 ha of good land. Over 70 thousand PLN must be paid by buyers from Łódź and Podlasie, and over PLN 60,000. PLN – from Warmia-Masuria, Silesia, Pomerania and Lesser Poland. Average over 50 thousand PLN/ha remains in the Lower Silesian, Podkarpackie and Western Pomerania voivodeships. The cheapest is in the Lubuskie Voivodeship (PLN 47,857) and Świętokrzyskie Voivodeship (PLN 47,819/ha).

In the case of medium-sized land of classes IIIb – IV, the average price in the country is already PLN 66,503, but in Greater Poland it is still PLN 88,041/ha. In the Kuyavian-Pomeranian Voivodeship it is PLN 69,961/ha, in Podlasie – PLN 69,436, in Mazovia – PLN 67,404, and in the Łódź Voivodeship – PLN 64,270. According to the Central Statistical Office, the average rate for weak land of classes V-VI is currently PLN 48,837/ha, but in Greater Poland it is PLN 63,915, and in several other regions it is above PLN 50/ha.

The gallop continues

Statistics kept by the Central Statistical Office indicate that the galloping price of agricultural land continues constantly. For example, in Greater Poland, already from the summary of the second and last quarter of 2023. shows that the average price per hectare increased by about PLN 1,000, and this only lasted for a few months. Compared to the last quarter of the previous year, the same average in Greater Poland has already increased by over PLN 6,000, and compared to the end of 2021 by over PLN 14,000! Taking these facts into account, a minimum of PLN 1,000 should be added to the averages given by the Central Statistical Office.

Hunger unquenchable

Agricultural land prices are still rising, despite the falling profitability of agricultural production in the country and the rising costs of this production. Therefore, there is no indication that the land hunger among Polish farmers has finally been satisfied. For most farms, purchasing land is unattainable in the current market situation, and in the case of financing the purchase, it involves a risk bordering on absurdity.

In addition, the high price does not result in an increase in the number of agricultural lands on the market. This is currently the best capital investment. Instead, it is offered by entire farms whose owners have overinvested or have already lost too much to continue contributing to production.

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