Agricultural land prices are at record highs in almost every county in NI, the Irish Farmers Journal can exclusively reveal. The average price paid for land across NI during 2021 was £11,444/acre, up £1,399/acre, or 14% on the year previous.

Armagh has the most expensive land in NI with sales averaging £16,625/acre, representing a 19% increase on 2020 levels. In Tyrone, the average land price rose by 23% to £12,601/acre and it increased by 11% in Down to sit at £12,508/acre.

The average price paid in Antrim was £10,844/acre, up 2.5% year on year, and there was a 32% increase in Derry to £10,543/acre. Fermanagh is the only county in NI where the land market is not at a record high, but its average price still rose by 12% last year to reach £6,477/acre.

A good year financially across almost all farming sectors saw more farmer activity in the land market during 2021. Auctioneers indicate that, in many areas of NI, farmers are prepared to bid land to £12,000/acre and more.

After that, it tends to be farmers with significant off-farm income, or business people with farming interests, that push prices on to £14,000/acre and beyond. According to auctioneers, these types of land buyers were particularly active last year.

Results from our annual survey of land sales across Ireland show that prices in NI continue to remain well ahead of the Republic of Ireland (ROI). When converted to euro, the average NI land price is €1,400/acre higher than the ROI average of €11,906/acre.

The survey results indicate that the NI land market is moving upwards across all price ranges, but by far the sharpest rise is seen at the upper end of the market.

The top 25% of land sales in NI averaged £20,140/acre during 2021, up from £14,460/acre the year previous. The bottom 25% of sales averaged £6,563/acre last year, which compares to £5,927/acre during 2020.

A key factor underpinning the robust demand for farmland is the limited supply that is offered up for sale. Records compiled by the Irish Farmers Journal show that 11,885 acres of agricultural land was advertised for sale in NI during 2021. Although the figure is similar to 2020 levels, it still only equates to 0.57% of the total grassland and arable area in NI.

The outlined figures are for land which could be described as arable, suitable for silage or good-quality grazing. A separate survey of hill land and rough grazing found that sale prices averaged £2,400/acre during 2021, down 17% on the year previous.