Similar to many aspects of agriculture this year, location weighed in heavily on performance and outlook. Speaking with auctioneers, some were more upbeat about 2017 than others.

It was a year of two halves in many areas. In the east and south, there was a stronger market cited in the second half of this year, with early 2017 seen as steady.

In the northwest, the weather has had an impact on the number of farmers interested in buying land in the second half of the year, according to an auctioneer in the area.

In any case, dairy seems to be going from strength to strength.

Better prices and higher production means the appetite for land is strong for the dairy farmer nationwide. Tillage farmers have found the going tough, according to the auctioneers; while beef and sheep farmers are active, but have to deal with greater competition from dairy.

Meath and Westmeath

Stephen Barry

Raymond Potterton Auctioneers

“2017 has been buoyant, much the same as last year. The higher-quality land seemed to get a premium price this year.

There was good demand for larger parcels of land, whereas I found that the 30-acre parcels seemed a bit sticky to sell. The early part of the year was dominated by businessmen with a farming interest. They see it as a worthwhile investment.

Dairy is certainly back with a bang. There is a hunger there for fodder plots of land or parcels to rear heifers. Farmers also seem more willing to travel for larger holdings.

The ability to obtain finance is also helping dairy farmers.”

Galway, Tipperary, Offaly

Ger O’Toole

CVA Ger O’Toole

“Small parcels of land saw demand from both the part-time farmer seeking to expand and also from the investor who considers land as a safe investment with the tax-free leasing option making it all the more appealing.

“Demand for good-quality holdings in excess of 100 acres remained strong, with supply being somewhat limited in 2017.

The dairy sector continued to surge ahead, leaving both the beef and tillage farmers finding it difficult to compete.

“We have strong interest on a continuous basis from progressive young farmers seeking large blocks of land to lease on a long-term basis, ie 10 years plus.

In fairness to these progressive farmers, we find they are very well prepared with their business plan in place, enabling them to provide confirmation of funds to accompany any offer they submit.”

Sligo, Leitrim

Patsy Smith

DM Auctions

“Good land is still selling alright this year, especially smaller parcels.

There have not been many larger plots.

For the poorer pieces of land, if they are not good enough for forestry you are in bother. The start of this year was similar to 2016 but the back end got very quiet in this area.

The weather has meant it is a constant battle for farmers down here.

The prices will hold but there are fewer farmers to bid for them because farmers are fed up with the weather. I really don’t think people around the country realise what we have to deal with here. The reality is there is an appetite for forestry land at the moment and that is having an impact on the prices of certain parcels of land.”

Cork

Ernest Forde

Hodnett Forde Property Services

“2017 was a big improvement on 2016 around this area and certainly for us. A lot of land was moved this year and there was good interest from farmers here. We saw a lot of smaller parcels between 20 and 40 acres on the market, with an odd big farm here and there.

There seemed to be good demand for all sized plots of land.

Dairy farmers have certainly been the big buyers in 2017. There is more interest from efficient dairy farmers, and milk prices are having a big impact on this. They are getting bigger cheques and banks seem willing to lend. Milk price will dictate a lot next year in terms of the demand for land, I feel.”

Wicklow, Carlow, Wexford

David Quinn

David Quinn Auctioneers

“Acreage wise, I don’t think there was as much offered in the southeast as last year, but everything that was brought to market was more or less sold. Prices seemed a little inconsistent this year. Some good-quality parcels that would have made €12,000 or €13,000/acre in 2015 or 2016 could have made €10,000/acre this year. This may be down to the money in the market from compensation received by farmers in the area from the Ferns Enniscorthy bypass. These punters would have invested in land and seem to be out of the market now. There are livestock and tillage farmers out there who are buying, but the dairy farmers are driving it forward. We are also seeing businesses investing in land around here. I don’t see any major change in 2018. If supply remains low, the market will hold in terms of price.” CL