BH AgrárTrend Index: the outlook for the Hungarian food industry has stabilized

“Although the players in the sector now see the situation positively, our latest analysis also confirms that there are two important issues in agriculture: climate change and increasing efficiency. The actors of domestic agriculture must prepare themselves in both areas, for which good financial opportunities are provided by the investment tenders worth approximately HUF 1,500 billion that will soon open in the current cycle of the European Union’s Common Agricultural Policy, as well as bank financing, which is coming to the fore again due to falling interest rates.

– said Dávid Hollósi, managing director of MBH Bank’s Agricultural and Food Business. He emphasized that in the coming period, those agricultural producers may be in a more favorable position who reduce their own costs by conducting reasonable farming and prepare for the consequences of climate change, including the lack or uneven distribution of precipitation. It can be a good tool for this if alternative plants are included in the cultivation or if irrigation is increased. He added that there are sectors that have become competitive even at the European level by being able to make production almost completely independent of the weather, such as greenhouse vegetable cultivation, broiler chicken and pig farming.