News Ground
Belgian farmer must have deeper pockets for soil
In Belgium, the price of a hectare of agricultural land has increased by almost a quarter in five years. Prices have slowed down recently. In some provinces, agricultural land is now becoming slightly cheaper again. This is reported by Fednot, the trade association of civil-law notaries, based on data up to the middle of this year.
In the first six months of 2023, the average price of a hectare of Belgian agricultural land increased by 0,5% to €53.193, reports fednot. Inflation of 7,7% is not included in that calculation. The price increase was also half a percent in the first half of 2022. Bart van Opstal, spokesman for Notaris.be, notes that uncertainty within the agricultural sector is increasing. As a result, the land market cools down slightly.
Quarter more expensive
If you extend the scope to a period of five years, a completely different picture emerges. During that time, agricultural land became almost a quarter (23,1%) more expensive. Set against the inflation rate for that period, the increase amounts to a slightly milder 7,5%. Flemish land has increased in value slightly more than that in Wallonia. What is striking is the large price difference on both sides of the language border. In Flanders, the land market increased this year by 1,5% to €63.105, while the average land price in Wallonia is €37.000. There, the price level fell by 1,4%. A price difference of more than €26.000 between the two Belgian federal states, that was about €6.000 less five years ago.
expensive provinces
This gap in the price level can be explained when you look at the provincial breakdown. In Antwerp and West Flanders people pay considerably more for agricultural land than in less densely populated areas. With €77.318, the latter province is the leader when it comes to the highest land prices. In Wallonia you pay the most in the province of Liège: €35.000. Prices fell in Namur and Walloon Brabant. This also applies to Antwerp, which can be called special. According to the civil-law notaries, this is also a correction, given the sharp increase in value of 13% last year.
The difference with the Netherlands is also significant. The price of Belgian agricultural land is 27% lower than here, compared to the latter Numbers of the Cadastre. Also striking is the size of the lots. On average, a plot of agricultural land in our southern neighbors was 1,1 hectares in size. Even in Wallonia, the average is only 1,3 hectares. In Flemish Brabant and Limburg, the plots are on average only half a hectare or slightly more.
Niels van der Boom
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