Hungary: Hot summer takes its toll on agriculture

Sunflower starts losing confidence

This year’s scorching summer drought has caused terrible losses in maize, while summer-harvested crops yielded mediocre results. However, there is now cause for concern regarding sunflower cultivation, reports Agrárszektor.hu.

Earlier in the summer, Hungarian farmers were optimistic about sunflower cultivation, with the planting area decreasing only slightly by 2% from the previous year. Sunflower remains Hungary's third most important crop due to its adaptability to extreme rainfall conditions caused by climate change. However, following this year's severe drought, farmers have become more cautious, with many considering changes to their crop structures to replace sunflowers with crops less vulnerable to hot, dry summers. (South of the border, in Serbia, farmers are also facing the same issue.)

Sunflower cultivation in Hungary has grown steadily over the past 20 years, sometimes exceeding 700 thousand hectares. It is the third most important crop after wheat and corn, valued for its lower production costs and resilience to extreme conditions like drought, which makes it a safer investment for farmers.

In June, farmers agreed that a 4 tons/hectare yield could be reasonably expected this summer, the portal reports. Drought periods and pests have also taken a toll on sunflowers, reports Agrárszektor.hu. Farmers interviewed by the portal unanimously agree that due to extreme weather resembling that of the historical 2022 drought, pre-harvest yield estimates have significantly dropped in several regions of the country compared to two months earlier. The effects of climate change are now forcing many Hungarian farmers to reconsider their strategies.

Summer heat takes heavy toll

Agrárágazat.hu reported this week on the damages the recent heatwave (and ongoing drought) have caused in Hungary. By mid-August, six counties received the highest, level-three alert for extreme heat. The extreme weather has led to poor wheat quality, the portal also writes, and there are also concerns about aflatoxin contamination in maize, which can further affect the already weak-to-moderate maize harvest.

Aside from the above-mentioned sunflowers, apples and elderberries are also expected to have lower yields this season, the portal writes. Livestock farming is struggling in central Hungary, with large areas of alfalfa and grass burned out in Bács-Kiskun County, South-Central Hungary. Additionally, drought and heat are critically affecting lakes, rivers, and other bodies of water, leading to forced fishing at Lake Balaton due to low water levels, according to the Balaton Fish Management Nonprofit Ltd.

Drought and heat are expected to cause over €875 million in agricultural damage this year. With last year's agricultural output at €10.75 billion, this loss is substantial, Agrárágazat writes, and in 2024, agriculture will not be able to help stem the tide of the continued decline of Hungarian GDP, similar to last year, the portal adds.

The number of farmers continue to decline

Agrárszektor.hu reports that both in the EU, and in Hungary, the number of farmers is shrinking. In 2020, the European Union had approximately 9.1 million farms, with small farms making up 65.6% of the total. Additionally, 87.8% of all farms were family-run.

According to data from the Hungarian Central Statistical Office (KSH), the number of agricultural workers in Hungary has been declining since 2017, the portal writes. Seven years ago, more than 222 thousand people were employed in agriculture, but by 2022, this number had decreased to 200 thousand.

The gross value added by Hungarian agriculture accounted for 1.9% of the EU's total in 2023. According to the latest KSH data, in 2024, Hungary's agricultural area totaled a little over 5 million  hectares, of which 4.13 million were arable land, 81.9 thousand hectares were orchards, 794 thousand hectares were grasslands, and 2.3 thousand hectares were kitchen gardens.

In 2020, there were 232 thousand farms in the country, by 2023, this had declined to 196 thousand.

Despite the rumors, the number of large predators remains low in Hungary

Agroinform.hu recently published an interview with Dr. Dávid Sütő, head of the Apex Predators program of WWF Hungary. The expert told the portal that although grey wolves, Eurasian lynxes and brown bears are all present in Hungary, their populations remain low.

The expert explained that although people talk about overpopulation, but in reality, the number of large predators in Hungary is actually small. The population of large predators in the country based on the 2019 census is the following: gray wolf: up to 50-70 individuals, Eurasian lynx: up to 20 individuals, brown bear: up to 2-10 individuals at any given time (brown bears roam over relatively large areas, so the population in Hungary shows significant variation).

The lack of growth in Hungary's wolf population cannot be explained by habitat issues, as their numbers are increasing across Europe, with Germany seeing a doubling in just a few decades. In Hungary, wolves pose challenges for wildlife management and livestock farming, potentially disrupting planned hunts and causing financial losses. Additionally, the possible presence of wolves and bears can instill fear in people, Mr. Sütő told Agroinform.

However, the presence of wolves and other large predators offers benefits for both livestock farmers and wildlife managers. These predators can help reduce the spread of certain diseases among large game animals, such as classical swine fever in Slovakia and bovine tuberculosis in Spain. Additionally, predators like wolves contribute to forest regeneration by moving large game animals and play a crucial role in the selection of weak or sick animals, as well as in scavenging.

6 million beverage containers returned daily

Previously, we have reported on the introduction of deposits on single-use beverage packages in Hungary. With the new regulation, the purchase of various beverages incurs a deposit of HUF 50 (€0.13) for every piece of packaging, e.g. bottles, cans, jars, etc.

Since its recent introduction, the number of returns in Hungary has increased to 150 million over the past few weeks, according to a recent report from MOHU Mol Waste Management Ltd. to the MTI news agency. Consumers return 6 million bottles, jars, cans and beverage boxes in a day. MOHU's commitment is to achieve a minimum 90% return rate in Hungary by the third year from the start. According to the data, by August 16, manufacturers had paid over €13.75 million in return fees. The amount reimbursed to consumers has already reached €18 million, meaning that MOHU is advancing nearly €4.25 million to manufacturers, as they only pay this amount in arrears, on a monthly basis.

Nearly 90% of returns are requested in the form of store vouchers, which so far amounts to over €15 million. Around 13% of returners have the money transferred to their bank accounts, while about 0.4% donate it to charity. Currently, returns can be made at around 3,200 automated collection points and approximately 1,000 manual return locations.