Australia’s agricultural land prices boom, but investors warned it may not last

Analysts fear future reductions in agricultural land prices could have dire consequences for farmers on tight margins

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Favourable growing seasons and rising commodity prices have driven extraordinary agricultural land prices across much of Australia, but analysts warn that investors may get burned if interest-rate rises and global disruptions change the picture.

A report from Rabobank this month indicated the market was well on its way to recording growth of above 25%" in 2022, following on from a 27% increase in 2021.