- Red-green aims to establish a more equitable land market system that favors farmers.
Lower Saxony's agricultural land and soil market is set to become more equitable, as per plans from the state's red-green administration. According to Agriculture Minister Miriam Staudte (Greens), a functioning land market is vital for sustaining and growing family farms and promoting sustainable farming. The state government has proposed a draft law for collaborative ownership participation. Staudte highlighted the need for immediate action.
The price of agricultural land in Lower Saxony has skyrocketed over the past few years. In 2023, the average rental cost for a hectare of farmland reached 643 euros, up from 595 euros in 2020 and around 350 euros in 2010, according to the ministry, drawing data from the Federal Statistical Office. Prices for agricultural land and pastureland have also seen substantial increases.
The state government's legislative proposal involves several major points. The misuse of price rules to prevent speculation and control purchasing and rental prices will be reinforced. Additionally, there will be a need for approval from the relevant authorities for share acquisitions in companies with agricultural land.
The proposed draft law by Lower Saxony's state government for collaborative ownership participation aims to benefit family farms in The Hanover. To curb escalating land prices, the legislative proposal includes strengthening the misuse rules to prevent speculation in agricultural land markets in The Hanover.
