Agricultural land market


Average prices of the agricultural land transactions
Contact
Contact organisation

National Statistical Institute

Contact organisation unit

Agricultural and Forestry Accounts and Prices Department

Contact name

Girgina Nikolova

Krasimira Tsonkovska

Contact person function

Head of Department

Chief Expert

Contact mail address

2, P.Volov Str., 1527 Sofia, Bulgaria

Contact email address
Contact phone number
+359 2 9857-646
+359 2 9857-465
Contact fax number

-

Metadata update
Metadata last certified11 May 2018
Metadata last posted11 May 2018
Metadata last update11 May 2018
Statistical presentation
Data description

The National Statistical Institute of Bulgaria has provided Eurostat with annual data on the prices of agricultural land transactions and rent payment in agriculture since 2000. The grant in 2011 aimed at the development of comparable statistical data according to the Target Methodology and envisaged to set up the improved national data collection system and to ensure data quality by introducing new tools for data collection and data checks in order to meet users' needs and access to the data. The three years period for observation (2010, 2011 and 2012) has been selected, moreover the 2012 information was collected on the quarterly bases. After the completion of the project, the NSI continued to develop this statistical information and providing data to Eurostat on a regular basis.

Within the survey data for the next variables are collected:

• Number of transactions in the reference period - total and by land use categories, at national and regional level

• Total land sold by the observed unit in the reference period - total and by land use categories, at national and regional level

• Sale price per unit of area - total and by land use categories, at national and regional level

Classification system

For data compilation next classifications are used:

• Classification of Territorial units for Statistics in Bulgaria (NUTS)

• Classification of observed Land use categories

• Classification of Economic Activities in Bulgaria (NACE 2008, Rev. 2)

• National Register of Populated places in Bulgaria

Sector coverage

Data on the sale price of agricultural land are collected from three main groups of respondents operating on the agricultural land market:

• Agricultural holdings, (only juridical persons), buying agricultural land for development of their economic activity (NACE 2008, code 01)

• Land transactions companies established according to the National legislation specially to carry out operations (purchase, sale and rental) of agricultural land (NACE 2008, code 6810 and 6820)

• Real estate agencies (limited number)buying and selling agricultural land (NACE 2008, code 6831)

Only those agricultural land transactions where its purpose for agricultural production is not changed are taken into account.

Statistical concepts and definitions

1. Definition of the price of agricultural land According to the market price concept, the price of agricultural land (arable land, permanent grassland) is the price received/paid by the holder in free trade without deduction of taxes or levies and without the inclusion of subsidies. In practice, this means the actual price agreed upon by the transactors. Any taxes that the seller may have to subsequently pay as a result of selling the land, such as capital gains tax, would not be deducted from the price. The selling/purchase price of land should thus exclude:

• costs of transferring ownership (therefore lawyer's fees, registration taxes and real estate tax are not included in the land price);

• deductible VAT;

• the entitlements related to the land;

• the value of any monetary compensation received by farmers for the sale/acquisition of the Utilized Agricultural Area (UAA);

• the value of any building on the sold/purchased agricultural land;

• inheritance transfers.

Within the survey data on absolute prices of the agricultural land transactions is collected. There is no need respondents to calculate average prices in cases of several transactions made. In this case they fill-in the most frequently contracted price when they buy/sale agricultural land within the area of corresponding populated place.

2. Observed land use categories

• Arable land - land worked (ploughed or tilled) regularly, generally under a system of crop rotation (as defined for the latest Farm Structure Survey).

• irrigable arable land – arable land area which could, if necessary, be irrigated in the reference year using the equipment and the quantity of water normally accessible

• non-irrigable arable land - arable land area which cannot be irrigated due to the lack of access to water for irrigation

• Permanent grassland - land used permanently (for five years or more) to grow herbaceous forage crops, through cultivation (sown) or naturally (self-seeded) and which is not included in crop rotation

According to the agricultural Census 2010 the irrigable land represented 2.5% of the total UAA in Bulgaria and thus in compliance with the Common Methodology the breakdown of the average price of land transactions by two subcategories of arable land (the irrigable and non-irrigable) was not carried out.

Statistical unit

1. Reporting units:

Data on the sale price of agricultural land are collected from three main groups of respondents operating on the agricultural land market:

• Agricultural holdings, (only juridical persons), buying agricultural land for development of their economic activity (NACE code 01)

• Land transactions companies established according to the National legislation specially to carry out operations (purchase, sale and rental) of agricultural land (NACE code 6810 and 6820)

• Real estate agencies (limited number) buying and selling agricultural land (NACE code 6831). Only those agricultural land transactions where its purpose for agricultural production is not changed are taken into account.

2. Observation unit

The observation unit is the price of 1 decar of agricultural land purchased or rented.

Statistical population

• The statistical population for the agricultural holdings and real estate agencies is defined on the base of information for the acquisition of fixed assets (land is presented as a separate item), reported by them in the Annual Activity Report of Non-financial Enterprises.

• For the Land transactions companies the statistical population is defined on the base of information on reported value of changes in the fixed assets during the calendar year in the Annual Report of Consolidated Annual Activity Report of Specialized Investment Firms.

Reference area

The survey covers the entire territory of the country.

Time coverage

 From 2000 onwards.

The data from 2010 onwards meet the requirements of the Eurostat Common Methodology.

Base period

Not applicable.

Unit of measure

BGN per 1 decar sold agricultural land

Number of transactions of agricultural land

Decars for the size of sold agricultural land

In order to meet the requirements of the Eurostat Common Methodology, prices are then recalculated in BGN per hectare.

Reference period

Calendar year.

Institutional mandate
Legal acts and other agreements

1. National Low on Statistics

2. National Statistical Programme

3. Common EU Methodology on Agricultural Land prices and rents

4. ESS-net agreement between Eurostat and members states

Data sharing

Data from the survey are included in Agreements for data exchange and strategic partnership between the National Statistical Institute and other bodies.

Data to Eurostat are supplied according to ESS-net agreement.

Confidentiality
Confidentiality - policy

• Law on Statistics: http://www.nsi.bg/en/node/218/;

• Regulation (EC) 223/2009 on European statistics (recital 24 and Article 20 (4)) of 11 March 2009 (OJ L 87, p 164) foresee that for that purpose it is necessary to establish common principles and guidelines, ensuring data confidentiality of data used for production of European Statistics and access to those confidential data with account for technical developments and requirements of users in democratic society.

http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2009:087:0164:0173:EN:PDF

Confidentiality - data treatment

Individual data shall not be published, observing art. 25 of the Law on Statistics. The dissemination of individual data is made only under Art. 26 of the Law on Statistics.

Problems with the confidentiality of data arise at lower geographic levels and for smaller categories of land (orchards and vineyards), where in some cases there are separate transactions or renting of agricultural land. In this case, the data is aggregated at the higher geographic level.

Release policy
Release calendar

The schedule for dissemination of statistical information from the survey on agricultural land prices and rents is published in the Release Calendar presenting the results of the statistical surveys carried out by the NSI.

Release calendar access

The calendar is available on the NSI website: http://www.nsi.bg/en/node/480

User access

Data are published in compliance with the Chapter 5 of the Law on Statistics and European Statistics Code of Practice, considering professional independence and with aim of impartiality and transparency, where all users are treated equal.

Frequency of dissemination

Annual.

Accessibility and clarity
News release

Press release is regularly published on the website of the National Statistical Institute at the end of April, year n+1 in Bulgarian and English together with data dissemination.

The press release can be accessed at http://www.nsi.bg/en/node/11616/?qt-statistical_domain_en=4

Publications

Data are regularly published on the website of the National Statistical Institute at the end of April, year n+1 in Bulgarian and English in the domain Statistical data/Agriculture and Forestry/Agriculture.

On-line database

IS INFOSTAT.

The on-line data base can be accessed at NIS website.

http://www.nsi.bg/en/node/11616

Micro-data access

Not applicable.

Other

Not applicable.

Documentation on methodology

• The Common Methodology on agricultural land prices and rents

The Common Methodology can be accessed at:

http://www.nsi.bg/en/node/11616/?qt-statistical_domain_en=2

Quality documentation

Quality report is not available.

Quality management
Quality assurance

The methods and procedures for the calculation of data are periodically described and their compliance with the Eurostat Common Methodology is documented.

During the meetings of the Agricultural Accounts and Prices Working Group, questions of methodological nature are discussed and examples of good data development practices are presented.

Comparative analysis with data from previous periods and other sources of information is made.

Quality assessment

Overall, the quality of the data can be considered good.

Relevance
User needs

The main user of data is the Ministry of Agriculture, Food and Forestry. Data are also provided to the business and to citizens.

The national user's needs were taking into account by providing the information on three more land use categories and by land productivity categories.

User satisfaction

The survey of user’s satisfaction is not conducted.

Completeness

All required data sets, including data at regional level are reported to Eurostat. Data on irrigated and non-irrigated land are not compiled as far non-irrigated land is below as percentage of total agricultural land as the Common Methodology requires.

Accuracy and reliability
Overall accuracy

The accuracy of data is achieved by ensuring a satisfactory range in the selection of respondents, development of reliable statistical tools, including IT environment for data collection, data control and data editing through elimination of extreme values and methodological instructions for survey implementation.

Sampling error

Not applicable.

Non-sampling error

Non-response rate is calculated.

Timeliness and punctuality
Timeliness

Data on the price of agricultural land are published four months after the end of the reporting period.

Data for the first time were released on the 22.10.2013

Punctuality

No delays have been made with regard to deadlines for sending Eurostat data and to timetable in the Calendar for submission of the results of statistical surveys conducted by the NSI.

Coherence and comparability
Comparability - geographical

The data are geographically comparable for the entire period for which they are available.

Comparability - over time

The data are comparable for the period 2010-2017.

Coherence - cross domain

Comparison is made with Farm Structure Survey (Agricultural Census) data by comparing estimated area during the structural survey at regional and national level with data on land transaction area for the observed land use categories. 

Тhe coherence with other statistical domains is not investigated.

Coherence - internal

The internal coherence of data is ensured by using the same definitions, classifications, and methods of observation.

Cost and burden

The budget (financial resources) needed for the implementation of survey is published in the National Statistical Program on the NSI website. In order to reduce the burden on respondents, an electronic off-line questionnaire containing logical controls is used.

As the main measure of the workload of respondents, the time needed to complete the statistical forms is used. Each questionnaire includes a section that respondents need to complete. The time required to complete the form also includes time for data preparation. On the basis of this information, the response burden can be considered relatively high.

Data revision
Data revision - policy

According to the established policy, data revisions are made when the methodology, the classifications and definitions used are changed.

Data revision - practice

Revision of the data is not foreseen.

The Fam Structure Surveys are carried out over a certain period of time (usually three years) and as far as land data are used as weights for weighing agricultural land prices and rents, for some of the years in the period it is necessary to recalculate the average prices, once the data on the areas by category of land are available.

Statistical processing
Source data

Direct observation trough implementation of statistical survey.

Frequency of data collection

Annual.

The National Statistical Institute of Bulgaria has provided Eurostat with annual data on the prices of agricultural land transactions since 2000.

Data collection

The data are collected via an electronic offline questionnaire, which is sent to the respondent by e-mail. The questionnaire is also available on the NSI's website, where it can be downloaded from the respondents or experts from the Regional Offices, for subsequent filling in the required information. After filling in the data by the respondent, the questionnaire is returned by e-mail to a special address of the Regional Statistical Office, in the territory in which it operates. Each regional statistical office is responsible for collecting information from respondents on its territory. Experts at the Regional Offices are required to review the completeness and correctness of information received from respondents. Errors discovered are communicated to the respondents and are required to send correct information from them.

Data validation

The validation of data in the process of statistical processing is done by means of specially developed software. The development of the software is in accordance with a technical assignment written by the responsible experts for conducting the statistical survey. The validation of the data is done at two levels: at the regional level - by the experts in RSOs and nationally - by the NSI experts.

Data compilation

Data processing is done using software specifically developed for this purpose. The development of the software is in accordance with a technical assignment written by the responsible experts for conducting the statistical survey. The data processing is done at two levels: regional - in RSOs and national - at NSI.

At the regional level, the process involves checking data, editing data, validating data, and forming a regional database.

At national level, the process involves checking of regional data, editing data, validating data, forming a national database, and tabulation (automatically produced tables containing aggregated data on the number of transactions, size of sold land and weighted average prices broken down by land use categories and geographical levels.

Adjustment

Not applicable.

Comment

-

Metadata Structure Definition in SDMX 2.1: ESMS_MSD+BNSI+2.0+SDMX.2.1.xml
Metadata Structure Definition in SDMX 2.0: ESMS_MSD+BNSI+2.0+SDMX.2.0.xml
  • Monday, 19 December 2016 - 11:00

    According to the first estimate of Economic Accounts for Agriculture the value index of net entrepreneurial income in agriculture in 2016 decreased by 16.4% in comparison to 2015. The net operating surplus/mixed income decreased by 4.5% and the net income by factor costs - by 4.1%.

  • Wednesday, 23 November 2016 - 11:00

    The producer price index in agriculture in the third quarter of 2016 decreased by 5.7% in comparison with the same quarter of 2015. The crop output index decreased by 6.0%, as well the animal output index - by 3.5%. In comparison with previous year the prices of agricultural output went down by 7.8%. The same decrease was observed in both, crop output price index and animal output price index.

    The index of prices of goods and services currently consumed in agriculture in the third quarter of 2016 was 4.3% below the level in the same quarter of previous year and by 3.0% compared to 2015.

  • Tuesday, 23 August 2016 - 11:00

    The producer price index in agriculture in the second quarter of 2016 decreased by 0.8% in comparison with the same quarter of 2015. The crop output index increased by 0.6%, while the animal output index decreased by 2.2%. In comparison with previous year the prices of agricultural output went down by 1.9%. The crop output index increased by 3.5%, while the animal output index decreased by 7.3%.

    The index of prices of goods and services currently consumed in agriculture in the second quarter of 2016 was 4.8% below the level in the same quarter of previous year and by 3.8% compared to 2015.

  • Friday, 20 May 2016 - 11:00

    The producer price index in agriculture in the first quarter of 2016 decreased by 5.0% in comparison with the same quarter of 2015. The crop output index decreased by 1.8% and the animal output index - by 7.5%. In comparison with previous year the prices of agricultural output went down by 3.6 %. The crop output index decreased by 3.6% and the animal output index - by 3.5%.

    The index of prices of goods and services currently consumed in agriculture in the first quarter of 2016 was 0.1% below the level in the same quarter of previous year and by 3.3% compared to 2015.

  • Friday, 22 April 2016 - 11:00

    The average price per one decar agricultural land reached BGN 732 in 2015, which was 7.0% higher than this in 2014. The average rent price per one decar hired/leased agricultural land in 2015 reached BGN 42, which was by 2.4% higher than in 2014.

  • Tuesday, 23 February 2016 - 11:00

    The producer price index in agriculture in the fourth quarter of 2015 increased by 9.8% in comparison with the same quarter of 2014. The crop output index increased by 10.9% and the animal output index - by 4.8%. In comparison with previous year the prices of agricultural output went up by 1.1%. The crop output index increased by 2.9% while the animal output index decreased by 4.0%.

    The index of prices of goods and services currently consumed in agriculture in the fourth quarter of 2015 was 2.6% below the level in the same quarter of previous year and by 4.8% compared to 2014.

  • Friday, 18 December 2015 - 11:00
    According to first estimate on economic accounts for agriculture of the National Statistical Institute, prepared as of November 2015, the real income index1 (income at factor cost) in agriculture decreased by 16.3% as compared to 2014.
     

    1 The real income index in agriculture represent a ratio between the nominal value of the income at factor cost in agriculture in 2015 and its nominal value in 2014, deflated by the estimated value of the implicit index of GDP for 2015. The estimated value supplied by Eurostat is 98.4%.
     
  • Thursday, 12 November 2015 - 11:00
    The producer price index in agriculture in the third quarter of 2015 increased by 6.4% in comparison with the same quarter of 2014. The crop output index increased by 8.8% while the animal output index decreased by 8.5%. In comparison with previous year the prices of agricultural output went down by 2.5%. The crop output index retained almost the same level while the animal output decreased by 10.1%
     
    The index of prices of goods and services currently consumed in agriculture in the third quarter of 2015 was 0.9% below the level in the same quarter of previous year and by 2.2% compared to 2014.
     
  • Wednesday, 12 August 2015 - 11:00

    Producer price indeces in agriculture in the second quarter of 2015 decreased by 6.7% in comparison with the same quarter of 2014 and with by 3.5% compared to 2014.

    The price index of goods and services currently consumed in agriculture in the second quarter of 2015 was 0.5% below the level in the same quarter of 2014 and with 1.9% compared to 2014.

  • Tuesday, 12 May 2015 - 11:00

    The index of producer prices in agriculture in the first quarter of 2015 decreased by 5.1% in comparison with the same quarter of 2014 and increased with by 0.6% compared to 2014.

    The index of prices of goods and services currently consumed in agriculture in the first quarter of 2015 was 4.1% below the level in the same quarter of 2014 and with 4.9% compared to 2014.

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