Price repression in the Slovak agricultural land market (original) (raw)
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Selected Issues of the Agricultural Land Market in Slovak Republic
Most of the agricultural land in Slovak republic is even after a 9-year period from the entry into the EU leased and this is not a different situation in comparison to the majority of the EU member states. The main focus of the paper is on the current status in the structure of the agricultural land ownership and agricultural land market. The analysis highlights the existing problems such as a high percentage of agricultural land under the state control, fragmentation of agricultural land, differences in the regulatory and institutional framework, agricultural land prices, limited possibility of acquiring agricultural land by foreigners. By comparing the average prices of the arable land the market prices were significantly higher than administrative prices in evaluated districts.
Current Issues of Agricultural Land Market in Slovakia
Economica, 2020
This paper reports on the findings of the study related to the agricultural land purchases in the Slovak Republic from June 1, 2014 till September 30, 2015. The situation is analysed according to the new legislation for the period after the expiration of the moratorium on the purchase of agricultural land by foreigners. We focus on the agricultural land supply and land prices in particular Slovak regions related to the land which has been offered for sale via the Register of Publication of Offers of the Agricultural Land at the web side of the Ministry of Agriculture and Rural Development. Our results show that new legal regulation Act no. 140/2014 Coll. on acquisition of ownership right to agricultural land directly favours certain groups interested in purchasing of land, and limits not only foreigners but also domestic persons interested in purchasing of agricultural land. The land supply prices are higher than the administrative ones in all Slovak regions.
Formation of land market institutions and their impacts on agricultural activity
Journal of Rural Studies, 1994
The process of transformation of Bulgarian agriculture from a centrally controlled economy to a market-oriented economy is resulting in land reform, which will necessitate the immediate development and operation of land markets. On the one hand, the land reform is restoring land to those who owned it in the year 1947, or their heirs, who not only have very small and scattered holdings, but who often live in urban areas far from the claimed land and do not practice farming. On the other hand, farming is being changed by the liquidation of the former collective farms and the emergence of privately managed farms and new forms of co-operatives. These new operating units may or may not have their own land claims, but in most cases, do not have immediate access to sufficient land for adequately sized operations. Without land market institutions for information, contracting land use, and enforcement of contractual rights, the transaction costs of bringing the suppliers of land together with those demanding land will result in unused land and distorted agricultural activity. The paper explores both the formation of institutions and the evidence of transactions, as well as the possible impacts on farming.
Selected Issues of the Prices of Agricultural Land – the Case of Slovakia
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The aim of the paper is to identify the most significant factors affecting the prices of agricultural land through the econometric model applied on data from the Register of Offers of Agricultural Land. Based on the data collected during 30 months, it was proved that the most significant factors are the offered plot area, the proportion of the offered area on the total area of the land plot, the administrative price of agricultural land and the distance of the offered plot from a district city. All these factors have the positive effect on the land price. According to the regional comparison, the highest land prices are recorded in the tourist regions with the international significance.
Zemědělská ekonomika, 2015
Agricultural land is an important natural resource and the wealth of each country; in addition it is one of the main production factors, especially for the agricultural businessmen. Th at is a reason that state law makers adopt the legal regulations which are able to protect this unique natural resource and prefer using the land mainly for the agricultural purposes. Th e Slovak law makers have followed also such objectives by adoption of the Law No. 140/2014 Coll. on the acquisition of ownership of agricultural land and amending and supplementing certain laws. Th e paper analyses the economic and legal impacts of this law on the agricultural market in Slovakia with the regard to the presented land protection as the objective of the new legal regulation.
2014
The paper focuses on the situation of the agricultural land market in Slovakia and in selected region of the SR-Nitra region, on the application and development of agricultural land prices in Slovakia and on the factors that influence the decisions of agricultural enterprises on the market with agricultural land. In this paper were used primary data obtained with interview method realized within the research of Department of European policies, Slovak University of Agriculture during the period 2012-2013 in all districts of region Nitra. The evaluation of the impact of agricultural subject on agricultural land market in Slovakia was realized by using the method of regression analysis. Based on the results from the research we can state that entrepreneurs still prefer more to rent land then to purchase a land. The main factors influencing the decision-making process of agricultural subjects are ownership fragmentation, the fragmentation of agricultural plots and business's financial situation and profitability of the purchase. Many entrepreneurs pointed to this indicator as one of the most influential in terms of increasing the market price, respectively as a reason for not signing the lease agreement. The agricultural land market in Slovakia is emerging but still not sufficiently transparent. Further development of the market will continue to be marked by the overall economic situation in agriculture, relatively low competitiveness of Slovak farmers in the European market and reduced profitability. Research showed that the most pronounced effect on the price of agricultural land and the amount of rent for agricultural land has the number of enterprises. Growing number of farms will increase the price or amount of rent for agricultural land.
Despite the fact that the family farm is the basic unit of management in European agriculture, the European Union (EU) legislation does not directly guarantee the stability of such entities. For this reason, the EU member states regulate the principles for turnover of agricultural land, principles that favour ownership of agricultural property by family farms active in agricultural production. The goal of such principles is to enable the effective allocation of land resources assuming that European model of agriculture also provides desirable public goods. However, such allocation requires the maintenance of an optimal agrarian structure from the perspective of farm incomes. A supply of public goods is never optimal in market conditions and should be institutionally supervised. The aim of this paper is to identify homogeneous concentrations of agrarian structures occurring in the EU, to compare land market institutions in chosen EU member states and to assess the influence of limita...
Capitalisation of the government support in agricultural land prices in the Czech Republic
HAL (Le Centre pour la Communication Scientifique Directe), 2008
The recent implementation of the cAP Single Area Payments in the EU new Member States raises the question of whether a quick capitalisation of these payments is expected. capitalisation of public support to agriculture into land prices indicates that the benefits are partly transferred toward landowners rather than toward producers. This distributional aspect is of particular importance in countries where a large proportion of land is farmed by producers who do not own this land. This study investigates the influence of several types of support on czech agricultural land prices from private transactions between 1995-2001. The past period direct payments have been capitalised at the strongest rate, despite their low level and imperfections on the land market, suggesting that such support is most easily transferred to land values. A continuing capitalisation might threaten the farming activity, as farms are almost only tenanted. And because most of the landowners live in towns, there is a risk of an extreme leakage of support not only outside the farming sector, but also outside the rural sector.
Agricultural Economics (Zemědělská ekonomika), 2016
Agricultural land is an important natural resource and the wealth of each country; in addition it is one of the main production factors, especially for the agricultural businessmen. Th at is a reason that state law makers adopt the legal regulations which are able to protect this unique natural resource and prefer using the land mainly for the agricultural purposes. Th e Slovak law makers have followed also such objectives by adoption of the Law No. 140/2014 Coll. on the acquisition of ownership of agricultural land and amending and supplementing certain laws. Th e paper analyses the economic and legal impacts of this law on the agricultural market in Slovakia with the regard to the presented land protection as the objective of the new legal regulation.