The results by country present a mixed picture of confidence mainly related to the economic situation of the agricultural sectors in those countries (Netherlands, Belgium, France, Italy, Germany, Hungary, and Sweden). In many EU countries, last year a long, dry summer had a significant impact on crop and horticulture farming.
For the Netherlands, the confidence of crop and horticulture farmers in their businesses slightly declined, while the confidence index of dairy and poultry farmers improved.
Among Belgian farmers in Flanders, the confidence index slightly increased as most sectors remained economically stable. Only in the Flemish horticulture sector was there a negative sentiment due to rising costs and declining consumer confidence.
In France, more than a quarter of farmers consider the current economic situation of their businesses to be poor; this share has decreased by 5% since March 2022, while economic outlooks continue to decline.
The confidence index in Germany worsened significantly this fall due to the crisis in Ukraine, rising fertilizer and energy prices, and high interest rates on borrowed capital. The willingness of German farmers to invest in sustainable (wind and solar) energy is increasing, as are prices for milk, cattle, and pigs. Farmers in Hungary are much gloomier across the entire sector, even looking ahead two to three years.
Concerns about rising costs continue to undermine the confidence of Italian farmers. They are also more pessimistic about current and future situations, with a horizon of 2 to 3 years. Finally, the confidence of Swedish farmers steadily declined until the third quarter of 2022, but sentiment is now becoming more positive and confident as the incomes of Swedish farmers increase.