Polish countryside is becoming less and less agricultural. This is changing the real estate market

Poland – an agricultural country? Not necessarily anymore. Just a hundred years ago, agriculture was the only source of income for over 60 percent. inhabitants of Poland at that time. After World War II, this percentage began to decline as a result of forced industrialization, although it still remained high compared to more economically developed countries. At the end of the Polish People’s Republic, the share of agriculture in employment was approximately 28 percent.

Currently, it oscillates around 8%, which means a twofold decrease compared to the situation 20 years ago. The Polish countryside is becoming less and less agricultural, and this also translates into the real estate market.

The importance of agriculture is declining even in its strongholds

Experts from the RynekPierwotny.pl portal point out that the given share of people employed in agriculture (8%) is a nationwide value. In the case of rural areas, this percentage more than doubles and is highly diversified territorially. On the map of the country you can find both rural areas where more than half of the employed are farmers and those where this indicator does not exceed 5%.

– It is not surprising that the high share of people working in agriculture is characterized by, among others, extensive parts of the Podlaskie and Lublin voivodeships. However, even in these agricultural strongholds, significant changes are taking place – notes Andrzej Prajsnar, an expert at the RynekPierwotny.pl portal.

Points to data from these voivodeships. In 1995, 42–45 percent were engaged in agriculture. working. Thirty years later, the interest rate had dropped to 15 percent. in the Lublin Voivodeship and 20 percent in Podlasie.

Diversity of the Polish countryside

Experts from the RynekPierwotny.pl portal emphasize that the Polish countryside is extremely diverse, and the decline in the share of people employed in agriculture results from various processes. They give the example of villages near agglomerations, which 30-35 years ago were not much different from those located further from the city. In the following years, there was a rapid expansion of construction, especially single-family housing, and the importance of agriculture decreased due to changes in land use, the relocation of “non-farmers”, the development of the service sector and the disappearance of small farms.

– In areas that are rather unattractive for housing construction, small farms are also disappearing – notes Andrzej Prajsnar.

The expert explains that the main reason is the age of the owners and the reluctance of their children to work on the land, which is not very profitable considering the small areas and low capital expenditure.

– The land of small farms is quite often purchased or leased by one of the large local farmers. In areas with no attractive settlements, demographic changes are becoming a more noticeable problem, which will increase the number of vacant housing units in the countryside. In 2021, the Central Statistical Office estimated it at over half a million houses and premises – says an expert from the RynekPierwotny.pl portal.

Transformations and the real estate market

RynekPierwotny.pl analysts draw attention to the real estate effects of changes taking place in the countryside.

– In some areas, we can already see the liquidation of some balks and field paths – unnecessary for a large farmer cultivating several adjacent fields. The average size of a farm is growing, which is not surprising. The statistical number of farms in Poland decreased by as much as 18%. in the years 2010–2023. During this period, every fourth farm with an area of ​​1-5 ha disappeared, notes Prajsnar.

According to the expert, such a large percentage change raises questions not only about the fate of residential buildings, but also about the use of weaker land – often overgrown with weeds and invasive shrubs due to the lack of further cultivation.

– It is also worth remembering that the number of unused farm buildings, which are remnants of farms, increases every year. The mentioned buildings are also becoming a problem (like empty houses), because generally very little demolition is carried out in Poland – says an expert from the RynekPierwotny.pl portal.

For people looking for a country house, even farm buildings located nearby may be an obstacle – especially if they are large or require renovation or demolition.

– In such a case, it may be even more of a hassle than a benefit. Let’s remember that a non-farmer currently has to pay tax on farm buildings at a much higher maximum rate than in the case of residential buildings (PLN 12/sq m vs. PLN 1.25/sq m) – points out Prajsnar.