CAPITAL REPRODUCTION ON COMMERCIAL FARMS

<ns3:p>The reproduction of capital is a key factor in the economic sustainability and development of agricultural enterprises. This study aims to identify the characteristics of commercial farms that support extended capital reproduction. The analysis is based on a panel of 1,688 farms that continuously participated in the Polish FADN between 2013 and 2022. Net investment, expressed in constant 2022 prices, was used as an indicator of capital reproduction. Among the surveyed farms, 38.6% engaged in investments aimed at simple reproduction – i.e., asset replacement – while 31.6% achieved extended reproduction. The findings suggest a higher propensity for asset development among farms specializing in animal production. Moreover, the share of farms undertaking extended reproduction increased with economic size and the involvement of external capital. At the individual level, farmer characteristics such as age and education were significant: younger and better-educated farmers were more likely to implement development-oriented strategies.</ns3:p>