The agricultural sector is in a terrible situation because producers have been postponing investments for years.

In 2026, the agricultural sector's confidence index dropped significantly by 18 points to zero, primarily due to drought and low prices in the pork and dairy industries. Despite improving macroeconomic indicators, the sector faces severe challenges, including a catastrophic corn yield and liquidity tensions among producers. The K&H bank forecasts a shift towards forint-based loans due to a decrease in the central bank's base rate. The situation is exacerbated by ongoing crises, including the African swine fever affecting exports. The dairy sector is also struggling, with prices declining since late 2025, leading to potential bankruptcies among producers. Experts emphasize the need for strict cost control and adaptation to changing conditions to ensure the sector's future viability.

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