The average annual price paid by agricultural and horticultural enterprises for rented agricultural land was EUR 223 per hectare. The information, included in the new Agricultural land rents statistics by Natural Resources Institute Finland (Luke), is based on information on agricultural land rental prices collected in connection with the 2016 crop and horticultural production survey.
Regional differences are high in rental prices: the rates were highest in Southwest Finland at EUR 350, in Uusimaa at EUR 297 and Åland at EUR 272 per hectare and lowest in Lapland and Kainuu (EUR 100 and EUR 98 per hectare).
“The rental prices vary greatly by farm as well. In the whole country, farms engaged in conventional production paid on average EUR 221 per hectare of agricultural land, while organic farms paid EUR 227 per hectare. The rent of agricultural land was considerably higher for horticultural farms at EUR 293 per hectare,’’ says Senior Statistician Pia Outa-Pulkkinen of Natural Resources Institute Finland.
By production line, poultry and pig farms and horticultural farms paid more than EUR 300 per hectare for rented agricultural land, whereas for dairy and beef farms, the rents were approximately EUR 200 per hectare.
One third of arable land is rented
Rental of agricultural land is very common in Finland, with more than a third of all arable land rented in recent years. In 2016, 60 per cent of agricultural and horticultural enterprises had rented agricultural land. The information is included in the Agricultural and horticultural enterprises’ land use statistics by Natural Resources Institute Finland (Luke).
Some 5,000 agricultural and horticultural enterprises responded to the survey
A survey of the rental prices of agricultural land was enclosed with the 2016 crop and horticultural production survey. Some 5,000 agricultural and horticultural enterprises responded. The results do not include responses stating the rental price at zero euros.
The sample of the crop and horticultural production survey includes around 6,600 farms, of which some 600 are organic farms. The sample is stratified according to three characteristics: the farm’s geographic location (ELY Centre), line of production and farm size in order to gain the most representative sample of the whole country. Every year, some 3,100 farms engaged in horticultural cultivation in the open and in greenhouses participate in the horticultural survey. The data is collected from farms in the online service and by telephone interviews.