HIGH rainfall zone farmland has experienced the highest rate of average annual growth in price over the last 10 years, according to the latest Australian Bureau of Agricultural and Resource Economics and Sciences data.

ABARES said this week the average price per hectare of broadacre farmland has grown at an average annual rate of 10.09 percent over the last 10 years to 2023.

According to the ABARES Farmland Price Indicator, price growth differed between ABARES zones, with the high rainfall zone experiencing the fastest rate of average annual growth over the last 10 years of 10.49pc, followed by the wheat-sheep zone (10.04pc) and the pastoral zone (8.3pc).

The ABARES regions that experienced the highest annual growth rates over the last 10 years are Victoria’s Wimmera region (18.42pc), Queensland’s west and south-west (18.05pc) and the state’s Darling Downs and Central Highlands (15.97pc).

The average price per hectare of Australia’s broadacre farmland increased by 131pc over the last 10 years.

​ABARES executive director Dr Jared Greenville said a relatively flat 2023 for farmland prices capped a decade of strong price growth.

“Over the 10 years to 2023, broadacre farmland prices went from $4,088 to $9,429 per hectare.

​“Australian broadacre farmland values reached $9,576/ha in 2022 but declined slightly by 1.5% on average through 2023,” Dr Greenville said.

​“The slight fall in 2023 contrasts with strong price growth over the past decade, where prices grew at an average annual rate of 10.09pc.”

The volume of broadacre transactions has decreased at an average annual rate of 6.52 over the last 10 years.

The Farmland Price Indicator provides valuable insight into Australian broadacre farmland prices, to ensure farming businesses can make educated decisions on their farmland assets.

​This week’s release updates the ABARES Farmland Price Indicator with the latest data, quarterly estimates at the national level, and a new set of detailed regional estimates.

​These latest farmland price estimates can be accessed by anyone through ABARES’ Farmland Price Indicator online tool.

​For more information visit: https://www.agriculture.gov.au/abares/data/farmland-price-indicator

Source – ABARES.