Tuesday, July 31, 2007

Drought hits farmland prices in Romania

This year's drought in Romania, the worst in 50 years, saw a significant decrease in land prices in some counties, the Rompres news agency reported on Tuesday.

In the southern counties, farmers sell their land for prices of only 300 euros (411 U.S. dollars) per hectare, three times below the real value while in the case of the farmland situated near towns and national roads, the price per hectare reaches even 10,000 euros (13,700 dollars).

Meanwhile, the lower price has boosted the sale of farmland held by small farmers, and the farmland has become part of real estate deals in this summer.

Local experts said some brokers buy the land situated near national roads whose market value will increase significantly in the coming years.

Source: Xinhua

No comments: