Czech agriculture doubled its net profit last year

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The net profit of Czech agricultural companies more than doubled year-on-year last year, which, according to preliminary data, rose to 9.7 billion crowns (155.2 billion forints) from 4.5 billion in 2024, Martin Pycha pointed out. Per hectare, farmers earned 2,779 crowns last year, while in 2024 it was 1,925 crowns. The proportion of companies that operated without a profit or at a loss last year fell to about 20 percent from 40 percent in 2024. “We are pleased that the agricultural sector did better last year, but despite this, the majority of agricultural companies struggle more with survival than with great prosperity every year. In the long run, agriculture is one of the least profitable sectors of the Czech economy. An example of this is the five largest retail chains, which operate with a higher annual profit than all agricultural companies combined,” explained Martin Pycha. He added that it is also important to know that 2024 was the weakest year for Czech agriculture since joining the EU. It is also a fact that agricultural companies achieve a significant part of their profits through ancillary, complementary activities, such as electricity generation from biogas. “Considering that the Czech agricultural sector receives about 30-40 billion crowns in subsidies annually, a profit of ten billion does not seem large,” commented Minister of Agriculture Martin Sebestyán to the CTK news agency.

MTI