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Farmers are investing less and less in stables

21 February 2020 - Chanti Oussoren - 4 comments

There is less and less investment in agricultural buildings. There has been a downward trend since 2012. This is apparent from the released data from Statistics Netherlands on the number of building permits for agricultural structures.

Since 2012, the planned construction sum has decreased when permits are issued for agricultural buildings. In that year this amounted to more than €850 million. In 2019 this is only less than half, namely €409 million. The total construction cost has gradually decreased since 2012.

Cattle farmers give up
Over the years, there has been less investment, especially in cattle barns. In the period between 2012 and 2015, an average of €200 to €300 million was invested annually in cattle barns. In 2019 this was only €45 million. The decreased willingness to invest is most likely due to uncertain legislation and regulations regarding nitrogen and phosphate. 

According to Statistics Netherlands, the investment in the construction of greenhouses and the investment in the construction of tool sheds has increased, but by much smaller amounts than the decreasing investment in cattle barns.

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Chanti Oussoren

Editor at Boerenbusiness who studies the dairy, pig (meat) and feed markets.
Comments
4 comments
fattener patrick arable farmer 21 February 2020
This is in response to it Boerenbusiness article:
[url=http://www.boerenbusiness.nl/melk/ artikel/10885946/boeren-investeren-steeds-minder-in-stalls]Farmers are investing less and less in sheds[/url]
jahh what do you want make it even more difficult for the upcoming farmers with laws and anti-advertising
they used to say "the farmer who plowed on" for food for their fellow man but now nothing but obligations
has 21 February 2020
isn't that crazy either.
info 21 February 2020
An agricultural entrepreneur always adapts his investments in 90% to his political and economic insights, as the future is now strongly determined by Pfas, Nitrogen emissions, banks that hold and or do not honor financing applications, permits that are rejected or not rightly so, prices that are too low to guarantee young entrepreneurs a decent salary because it is no longer allowed to expand (cost price and yield price too close together), land prices that are driven to sky-high amounts by housing and infrastructure.
Subscriber
mt 26 February 2020

Who is going to invest in an unprofitable sector, without a future I didn't think so.
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