In today’s uncertain agricultural economy, growers are facing a perfect storm of rising input costs, inflation, and soaring farmland values. From fuel to fertilizer, the costs of operating a farm have increased across the board. Expanding by purchasing more land is becoming increasingly cost-prohibitive. According to the USDA’s National Agricultural Statistics Service, farmland values rose by 7.4% in 2023, following a record-breaking increase of 12% over 2022 (Farm Bureau). Global trends show an 8.5% increase in farmland values, with Central Europe seeing growth rates of 13%, and North and South America at 9% (Savills). Higher land values also mean increased taxes, adding pressure to profit margins.
In today’s uncertain agricultural economy, growers are facing a perfect storm of rising input costs, inflation, and soaring farmland values. From fuel to fertilizer, the costs of operating a farm have increased across the board. Expanding by purchasing more land is becoming increasingly cost-prohibitive. According to the USDA’s National Agricultural Statistics Service, farmland values rose by 7.4% in 2023, following a record-breaking increase of 12% over 2022 (Farm Bureau). Global trends show an 8.5% increase in farmland values, with Central Europe seeing growth rates of 13%, and North and South America at 9% (Savills). Higher land values also mean increased taxes, adding pressure to profit margins. ·
Feb 18, 2025