ABN Amro sees major challenges for arable farmers to find a balance in the 2026 cultivation plan. On the one hand, growers must reduce the area of potatoes and beets, while on the other hand, more hectares become available.
The bank expects Dutch arable farmers to grow more onions, carrots, and cabbage crops in 2026. The financiers also warn of price pressure on these crops because excessive shifts in crop rotation will unbalance the market.
Arable farmers will have fewer options in the coming year. Processors are discouraging potato cultivation by offering 10 to 20% lower contract prices. In addition, beet processor Cosun has reduced the allocation for beet deliveries by 10%. On the other hand, more land will become available to arable farmers as a result of the livestock buyback scheme.
Tough choice
This presents arable farmers with a difficult choice. This is especially true because low potato, beet, and grain prices have put pressure on arable farming results this year. Since January of this year, growers have spent more than they have earned, according to an overview of transaction data from 271 arable farmers at ABN Amro.
The bank notes that the average Dutch arable farmer's liquidity position has decreased by €34.000 this year. While income did increase compared to a year ago due to strong sales in the second quarter, expenditures rose much more sharply this year. As a result, arable farmers ultimately spent €34.000 more than they earned.
The accounts of the 271 arable farmers in ABN Amro's transaction data therefore show a lower amount at the end of November this year than in the past two years. On average, the accounts still show an amount of €156.000. That's 13.000 less than last year and 34.000 less than November 2023. However, the accounts still show considerably more than the €104.000 in November 2022.
A third of the income
Although approximately 80% of potatoes are sold under contracts, the remaining free market appears sufficient to significantly worsen average liquidity. Potatoes represent over a third of arable farm income. Moreover, losses in this crop could hardly be compensated for, as sugar beet prices were also under pressure and grain prices remained low due to ample global stocks.
Higher lease prices, more expensive seeds and seed potatoes, labor costs, and sharply rising fuel costs due to intensive irrigation put a heavy burden on the cash position. Net expenditures rose by approximately €136.000, compared to a €95.000 increase in income.
The share of companies with temporary overdrafts on their current accounts increased slightly in 2025. According to ABN Amro, this is not immediately worrisome. Many companies still have substantial buffers they can draw on, unless they have recently made large investments from their own resources. However, a peak in liquidity shortages is expected in the second quarter of 2026, when high spring costs coincide with limited revenues.