Historically, small farmers go bankrupt … Financial

This is clear from the report on the agricultural sector published today by ABN Amro. The number of bankruptcies among farmers has declined since 2013, when nearly 150 farm entrepreneurs went bankrupt.

The decline is the result of the increase in scale in the agricultural sector. This ensures that the number of businesses decreases, but that the remaining businesses are more likely to test the future. According to ABN Amro, the number of farms has almost halved since 2000.

Aging

One important reason why farmers put an end to their business is lack of succession. Six out of ten farmers say they have monitoring problems. However, larger farms are more likely to have a successor than smaller ones.

"Due to the aging of the population, a large number of farmers are coming back," says banking economist Nadia Menkveld, agriculture expert at ABN Amro 's Economic Bureau. "Their children often choose a future outside the agricultural sector, but young people who want to become farmers, are affected by high land prices, especially in arable and dairy crops."

The land price went from 45 € 000 on average per hectare beginning of 2012 to more than 60 000 € today. last financial news in your inbox?