What will happen Ukraine’s agricultural land prices?

Thursday, October 31, 2024
What will happen Ukraine’s agricultural land prices?

Despite the war, prices for agricultural land in Ukraine continue to grow, according to market experts. Weighted average prices have been gradually increasing by up to 10% since the beginning of the year. Price dynamics continue to be shaped by both negative and positive factors.

Negative factors include the war and all its related consequences, which create uncertainty for investors. However, legal entities now being able to purchase land has given the market positive impetus. New players are coming to the market, including agricultural producers and other legal entities that purchase land specifically for investment purposes.

It is also worth mentioning the competitive environment. In places with a high concentration of farmers, prices are increasing. Therefore, by the end of the year a moderate price increase in the central regions of up to 5−10% of current prices is possible. In 2025, the land market will likely continue its upward trend, with a moderate increase in prices and rental rates. Land prices in the central regions could increase by 8−10% per annum in dollars or 15−20% in hryvnia.

 

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