Agriculture and forestry sectors face drought and economic pressure

Agricultural and forestry sectors in Austria and Germany are facing significant economic and environmental challenges. In Austria, the Green Report indicates that while average farm incomes rose by 18 percent in 2025 to approximately 47,100 euros, the sector is under massive pressure. Geopolitical crises, market volatility, and a historic drought in 2026 are expected to cause significant yield losses and declining incomes.

In Germany, Minister Alois Rainer has advocated for exemptions from cash register requirements for agricultural and forestry self-marketing. Additionally, farmers are exploring agroforestry—combining livestock and forestry—as a method to secure harvests against climate change. In the region of Tirschenreuth–Weiden, such practices are being used to mitigate the effects of environmental shifts.

Water supply security for farms and potential food shortages in Austria due to drought are also emerging concerns for the industry.