More Czech farms are being put up for sale amid weak agricultural economics
The number of farms being put up for sale in Czechia is increasing, while financial pressure on farmers could intensify this autumn. JTZE chairman Jan Šimek said the situation is being driven not only by drought but also by persistently weak agricultural economics.
According to Šimek, farmers are facing high costs for fuel, energy, fertilizers and labor, while farmgate prices remain low. At the same time, farms still need to keep investing in land, machinery and staff.
Rising land prices are adding further pressure. Over the past 15 years, Czech farmland prices have increased by an average of 9.5% annually, while returns for landowners are estimated at only around 2%.
JTZE, which grows wheat, rapeseed, corn and barley and also operates livestock businesses, does not expect significant expansion in the near term. Šimek said some farms are already in such a difficult position that recovery may be challenging.
He also argues that the competitiveness of European farmers is being affected by differences between requirements for domestic production and imported products. In his view, the sector needs better market conditions and stronger opportunities for farm modernization.
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