In the 2^nd quarter of 2021 the agricultural confidence indicator (IRGAGR) increased by 4.7 pts to -5.9 pts. It is now higher than one year ago by 12.5 pts, and 6.2 pts up from the second-quarters mean of the last 20 years. The quarterly improvement was due to seasonal factors, while the increase of the indicator on the annual basis is the so-called base effect, resulting from the very low figure recorded in the 2nd quarter of 2020, which was caused by the COVID-19 pandemic. Changes in all indicators of agricultural activity that are monitored under the survey programme (such as purchases of fertilizers, nutritive fodder and plant protection products, investment in machinery and buildings, among others) increase, however, the rise in the balances is rather of seasonal nature. Farmers expect agricultural production and their income to grow in the next quarter.

Konrad Walczyk, kwalcz1@sgh.waw.pl
Piotr Szajner, szajner@ierigz.waw.pl