Taking the nutrient content of soil into account in land valuation

Füleky, György – Prém, Krisztina

Keywords: land price, fertilizer price, potassium content, nutrient balance

Phosphorus and potassium fertilizers in access to plant requirements remain in the soil increasing its absorbable phosphorus and potassium content. In this study we aim at determining the monetary value of nutritious elements remaining in the soil upon fertilisation. The quantity of active ingredient necessary to attain the phosphorus and potassium content of soil may be expressed in monetary terms and added to the price of land after of course making the appropriate economic corrections. For example the value of land with average nutrient content but greater than 100mg/kg absorbable phosphorus and potassium content may be increased to various extents independently of its soil characteristics. Thus the price per hectare of such land may be hiked by as much as 170 000HUF to 450 000HUF. The fact that the monetary value of the nutrient content of soil amounts to nearly as much as that of the land itself indicates that nutrient content represents a significant value on the one hand and encourages farmers to preserve land quality on the other hand.