Background Emigration
Do low land prices make Bulgaria attractive?
The average farmer does not immediately think of emigration to Bulgaria, but land prices in the country can still be very attractive. If you don't want to farm there, it might be interesting to invest in land.
Although the average price for 1 hectare has tripled since 2010, an average land price of €4.500 per hectare is considerably lower than in Western and Central Europe. The soil in the country is quite fertile and on an annual basis it yields a higher yield. In addition, the climate in Bulgaria is very favorable.
De scaling up in the country continues strong; the average size of 1 company increased from 5 hectares (2005) to 19 hectares (2013). In addition, the number of farmers has decreased by almost 10% in the past 60 years. Despite the fact that there are many small farmers in the country, the largest part of the land (about 80%) is cultivated by large companies of 100 to 1.000 hectares.
Especially arable farms
Since the soil is very fertile, arable farming mainly takes place in the country. About 6,2 million tons of wheat were produced last year. Large supply companies also find their way to Bulgaria, so that the farmer in the country is not alone.
Bulgaria is a country in which many foreign investors invest. Also from the Middle East invested a lot in this country, especially for the production of animal feed and beef. This is partly because the Middle East is easily accessible via the Black Sea.
Low taxes, high subsidies
However, Bulgaria is interesting for investors for several reasons. For example, it is a member state of the European Union, but 1 with very low taxes. The country also provides a lot of subsidies, for example for investments in machinery.
Although there are of course also less attractive aspects; for example, there is a shortage of workers, there is a lot of bureaucracy and the infrastructure is often poor. Finally, the country has a relatively small sales area, which means that an entrepreneur must have his own sales channels in order.
Anne-Jan Doorn
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