Grain – Hay Report – 8 November 2013

International & National Summary – Grain:

• All major US wheat markets finished the week down as the global production outlook continued to increase. The international Grains Council increased their global forecasts by 3 mil t to 696 mill t for 2013. CBOT December futures ended the week down 18.25 Usc/bu to close on Monday night at 662.75 USc/bu.
• Adding to this week’s positive outlook for global production the Indian government officially lowered the floor price for wheat exports last week by $40/t. This opens up Indian stockpiles to the export market shifting global export demand away from the traditional US and European markets.
• The market is eagerly anticipating Friday’s USDA report for the first time in two months after the US government shutdown brought all estimates to a halt. The last month has seen the trade occurring blind without USDA data. Expect the potential for further volatility in the market following the report if the US data differs from the markets position.
• The Australian dollar has remained relatively unchanged for the week falling by a mere 0.0071 USc. The AUD closed on Monday night at 95.10 USc having little effect on the falling US wheat futures.
• Australian wheat prices have followed the fall in CBOT wheat futures finishing the week slightly down across all port zones. Brisbane, Newcastle and Port Kembla gave up some of their premium over the southern port zones. Traders and growers alike remain unsure to the extent of the frost damage in southern NSW and northern Victoria. CBA cut their estimate for Australian wheat production to 23.6 mill t while ACF are holding firm at 24.74 mill t. Miraculously global forecaster Lancaster increased their estimate from 24.82 mill t to 25.29 mill t. Further certainty for the Australian and Argentinian crop coupled with the improving situation in the southern hemisphere is seeing wheat falling to meet corn.
• The harvest is well underway in the southern states as it begins to wind down in northern NSW. Yields in the northern states reflected the low rainfall received throughout the year. Victorian growers in the Mallee are moving onto wheat in the coming days and Wimmera growers looking to start harvesting canola in less than a fortnight. Yield prospects in the southern states are promising depending on the level of frost impact.
• Barley prices were up this week on week as feeders and maltsters recognize the current spread to wheat at the moment and look to lock away supply. It is expected the gap will continue to close, backed by demand from Chinese demand.
• Solid volumes of old season grain continue to trade throughout NSW and Victoria. Opportunities exist to clean up remaining parcels of grain before harvest representing a cheaper buying alternative for end users. As majority of the old season domestic trade seems to be occurring out of on farm storage continue to be vigilant about quality checks.

National Summary – Hay:

• As more new season hay becomes available the market for hay across the country is best described as variable.
• Dry conditions in northern Australia continue to fuel strong demand for fodder resulting in the market in Northern NSW firming slightly this week.
• Hay supplies are limited, particularly in Northern NSW and QLD, a situation started by low carryover of last season’s crop and further stressed by active purchasing behind the baler for new season hay supplies. Some freight subsidies are now available for transport of fodder which should assist the movement of hay from Southern NSW north.
• Reports of large quantities of frosted wheat and barley crops have resulted in increased interest in hay production south of Forbes extending south to Northern Victoria. Early predictions of significant amounts of hay coming onto the market appeared to have overstated the actual quantity of hay cut, however it is still too early to get a clear indication. Many growers who have cut their crops hay are opting to re-fill empty haysheds before considering other marketing options. The exception are those growers not equipped to store hay and are making the most of the steady demand and quick cash flow by selling hay straight behind the baler at a discounted price.
• In the southern market large quantities of variable quality cereal hay coming onto the market is causing prices to soften, particularly for low grade hay. Growers with storage capacity are opting to sit on their lower grade hay for now, as opposed to taking the discounted prices presently on offer.
• Premium grade cereal hay is still in low supply and sought after by chaff mills, particularly in NSW. High prices are still being offered for top quality cereal hay in these regions.
• New season Lucerne hay is becoming available in limited quantities and there is steady demand in the eastern states. However poor baling conditions, low yields and rising water costs mean that protein hays in bulk may continue to be in short supply in 2014.
• In the southern dairy regions, including South East South Australia and Tasmania rains in the past few weeks continues to shorten the window for fodder conservation. Silage production will be down in these regions and there is likely to be increased haylage and hay production later in the year.
• Fodder analysis results to date are showing high levels of variability in the quality of hay, in particular NDF’s are coming in high and ME lower than expected due to big yielding crops. As usual we recommend buyers get a feed analysis before making any hay purchases.

This report has been commissioned by Dairy Australia to provide an independent and timely assessment of grain and hay markets in each dairying region. It should be remembered that actual prices may vary for quality or other reasons. All prices are quoted are exclusive of GST.

The information in this report is collected and disseminated with due care and attention to its accuracy, but Dairy Australia accepts no liability if, for any reason, the information is inaccurate, incomplete or out of date.

• Mareeba November rainfall: 6mm (Ave: 48mm).
• YTD: 750mm (Ave: 807). This time last year the tablelands had received 840mm.
• Atherton had 11 millimetres of rain in some parts this week, which was neither here nor there.
• Wheat: $ +0 ($359 to $369). Wheat prices steady this week but still firm. The reality is that the entire CQ recent wheat crop was of human consumption quality. No weather-damaged wheat was delivered. Most of the wheat was the top grade APH2. Therefore best if dairy farmers can find an alternative grain to avoid competition with the flour millers and exporters.
• Barley: $ +5 ($410 to $420). Completely out of the question on price. Expect around 5,000 tonnes of barley was grown in CQ this winter. Usually snapped up by feedlots and this year by graziers with beef in containment areas while drought continues.
• Corn prices $ +0 ($418 to $428). This price range is based on CQ feed corn trucked north to the tablelands. Any local supplies would be cheaper, even if milling or gritting corn were purchased.
• Sorghum: $ -5 ($313 to $323). Clearly the most competitive grain if no local grain can be secured. Price down with some hefty storm rains in CQ, which may stimulate some late spring sorghum sowings there.
• Irrigation programs are in progress and continuing to produce most of the feed requirements of dairy cows. Dryland paddocks are supporting mainly dry low grade grass such as Rhodes grass that had dried off and has since been grazed out, and kikuyu grass, similarly hard grazed but still alive and ready to respond when this current dry season changes and continuous growth is permitted by natural rain without long gaps between falls.
• With these high prices for grains, farmers are doing all they can to maximize milk production from grass, either grown in grazing paddocks or elsewhere and cut or carried to cows.

• Demand remains strong for hay, with the cattle stations in drought affected Western Queensland the most active buyers.
• Despite some baling continuing the supply of hay is very low. This is the result of the dry conditions in Western Queensland putting extra pressure on the hay market for most of this year.
• Prices remain firm but steady this week.

• Toowoomba November Rainfall: 0mm (Ave: 83mm).
• YTD: 959mm (Ave: 647mm), compared to 565mm last year.
• Eastern Darling Downs had only four millimetres of rain this week and it wasn’t general.
• Wheat: $ -9 ($314 to $324). Prices down as the harvest moves into top gear. Queues at many delivery depots. Some growers happy to sell ex paddock to avoid waiting at silos and to be given low quality assessments for faults such as high screenings.
• Feed Barley: $ +5 ($309 to $319). At this stage feedlots are taking as much barley in, as they can accumulate. Prices may soften when and if they ease off in their accumulation over the harvest period.
• Corn $ +0 ($355 to $365). Holders of old crop corn and holding back from offering in the hope that all SEQ wheat will have human consumption possibilities, based on the high energy of corn.
• Sorghum: $ +0 ($285 to $295). No price change this week. But stored sorghum still competitive in feed rations.
• So far there has been no weather damaged what and only minimum deliveries of frosted wheat or barley.
• On the wheat front this means that animal feeders wanting wheat are competing with exporters and flour millers for wheat.
• Even high screenings wheat has value, when blended with another line to increase the grain protein and gluten content of flour for a particular purpose.
• Sorghum is the grain in most remand for dairy cow feeding, as it is not as popular with beef feed lots, but is used extensively in both chicken and pig meat production.

• Demand for all fodder types remains strong throughout Queensland. Cattle stations in Western Queensland are the most active buyers.
• Overall the local supply of hay is very low. Reports of frosted cereal crops being baled for hay in NSW should bring some relief to the market in terms of supply. Freight subsidies are available for some farmers in QLD which will assist the movement of hay into the region from further afield.
• There is very limited bulk lucerne hay available locally. Bulk Lucerne is being sourced in limited quantities from Northern and Central West NSW and Victoria. Trading remains active and prices remain firm but steady this week.
• There is a lot of interest in baling cereal straw this season. With no rain, the quality so far is good and the feedlots are active buyers.
• Prices remain firm but steady this week.

• Lismore November rainfall total: 0mm (Ave: 98mm).
• YTD: 1089mm (Ave: 1101mm), compared to 990mm this time last year.
• SFW Wheat: $ -9 ($363 to $373). Prices down as the harvest moves into top gear. Queues at many delivery depots.
• Some growers happy to sell ex paddock to avoid waiting at silos and to be given low quality assessments for faults such as high screenings
• Feed Barley: $ +5 ($361 to $371). At this stage feedlots are taking as much barley in, as they can accumulate. Prices may soften when and if they ease off in their accumulation over the harvest period.
• Corn $ +0 ($400 to $410). Corn prices ex Downs are holding prices in expectation of no weather-damaged wheat this harvest. If there is weather damaged wheat, feed corn prices must fall to make sales.
• Sorghum: $ +0 ($326 to $336). No price change this week. But stored sorghum still competitive in feed rations.
• These feed grain price ranges are based on Downs prices plus through road freight for delivery into NSW coastal areas.
• Better to make more permanent grain supply arrangements with local grain growers. Try to avoid the long grain haul costs, if at all possible.
• At the very least have silos capacity to take a full semi load of grain at the one time, thus avoiding the higher grain pricings that go with part grain load deliveries.
• Increasing productivity of sown pastures is important in increasing milk from cheap grass, than expensive grain.

• The market firmed for most fodder types this week, a result of the strong demand and tight supply, as well as the good quality of new season hay available. Dairies and beef producers are the most active buyers.
• There is particular interest from buyers seeking cereal hay which is difficult to source locally. This week prices strengthened about $50 to $250-$300t delivered. Large quantities of frosted cereal hay being baled in Southern NSW may provide some welcome relief to buyers in this region, although freight will add a significant cost.
• There is increased interest in straw production given the firm fodder market at present. New season straw is trading around $140-$150t delivered and beef producers are the most active buyers.
• Supply of Lucerne hay is very low but some new season Lucerne is available in limited quantities from Tamworth and Central West NSW.

• Forbes November rainfall: 0mm (Ave: 50.1mm).
• YTD: 447mm (Ave: 437mm), compared to 533mm this time last year.
• SFW Wheat: $ +5 ($205 to $215). Wheat coming in is of good quality. Harvest gathering more pace now after a dry and warm to hot week. No need to rush to buy for 2014 requirements. Better to wait for any weather conditions that might alter the incoming wheat quality.
• F1 Barley: $ +13 ($187 to $197). Barley coming off now, not only from western areas, is of good test weight and very suitable for feeding to cattle or pigs
• Corn $ +0 ($375 to $385). Corn growers are holding old season stocks for use against wheat if the circumstances by the end of harvest allow.
• Sorghum $ -5 ($306 to $316).
• Ideal for both haymaking and grain stripping activities, though in different districts around Forbes. Wheat and barley pricings have aligned close to traditional relativities. No special hurry for price grain requirements into 2014.
• Best to wait till later in the harvest, when prices should settle and more information will be to hand about local wheat quality, including any faulty wheat parcels. Good idea to scout for any local triticale that may have been sown for a mid December harvest.

• Growers have had time to consider their options for frost affected cereal crops and it appears that the amount to be cut for hay is down on original forecasts. With steady demand continuing from Northern NSW and QLD, the extra hay that does result from frosted crops will go a long way toward replenishing fodder supplies for 2014.
• High grade cereal hay is difficult to source and is sought after by the chaff mills and horse market.
• Increases in water prices may see the later cuts of Lucerne hay become more expensive in the coming months.
• Prices remain firm but steady this week.

• Bega November rainfall total: 0mm (Ave: 63mm).
• YTD: 486mm (Ave: 585mm), compared to 803mm this time last year.
• NO rain this week.
• SFW Wheat $ +10 ($235 to $245). Dry week saw proper start to the new grain harvest in MIA and areas north of this, such as Lake Cargelligo and Naradhan. These areas don’t normally supply Bega valley due to high road freights.
• Feed barley $ +15 ($217 to $227). Prices are for November delivery, not necessarily prompt. More wheat than barley being delivered, and more grain coming into western and northern sites, than from south western slopes areas.
• Triticale $ -10 ($226 to $236). Old crop triticale all gone, or at least committed. New sesson crop not expected before mid December. Prices based on availability at that time, assuming for weather damaged Riverina wheat appears by then.
• Oats: $ +0 ($208 to $218). No demand presently for oats in Bega valley, but some Monaro graziers looking for cheap old season or season’s oats for long term drought reserve for sheep.
• This region will probably run on old crop grain commodities for the rest of November, nevertheless, we are using new crops pricings as an indication of where values are for incoming crops. Most of the main grain supply areas for the Bega valley are late maturing areas north and east of Wagga and within Victoria grain areas east of Dookie. No rush to jump into grain supply contracts for 2014.
• By waiting till more of the southern harvest is over, and buyers and growers have a better handle on wheat quality, particularly the estimated tonnages of sub human consumption quality.

• There is steady demand for hay at present with particular interest in cereal hay.
• New season cereal hay in NSW appears to be of good quality but feed tests are showing some variable results and buyers are well advised to ensure they inspect hay and get feed tests before making any purchases.
• Cereal hay prices have firmed slightly, up $25 this week, in part driven by the high quality of new season hay available. The amount of hay cut in frost affected regions of NSW is thought to be down on original estimates and there are also reports that growers are choosing to re-stock their own hay sheds before considering their marketing options. As a result we are not seeing prices soften quite yet, as was predicted.
• Overall silage yields are down this year, largely driven by the patchy seasonal conditions and some growers trying to limit expenditure. This may increase demand for cereal hay in 2014.
• Lucerne hay prices remain firm but steady this week. With supplies expected to remain tight due to low yields and high water costs the market is not likely to soften in the short term.

• Tatura November Rainfall total: 0mm (Avg: 41mm)
• YTD: 308mm (Ave: 454mm), compared to 481mm this time last year.
• Wheat: $ -15 ($245 to $255). With the new harvest growers are concentrating on canola crops that have been swathed and are drying down and oiling up with less threat of seed loss from wind or conventional headers. Then wheat crops ahead of barley or oats.
• F1 Barley: $ -9 ($194 to $204). New season now running, but with most activity north of the River at sites such as Moulamein and Bunaloo and Balranald. But areas west of Nathalia are not far off, if the weather holds fine and dry.
• Triticale: $ -15 ($243 to $253) this pricing applies to new season triticale. But the triticale harvest in the northeast is not expected to start till December. So sales now are not for prompt delivery. Old stocks all gone or committed.
• Feed Oats: $ -3 ($170 to $180). No demand for ruminants. Demand for racehorse oats of high test weight but not for basic 36 pound feed oats.
• There was a dry period of two weeks running into Wednesday morning for this important dairy region. Ideal for both curing oaten hay crops, and dryland cereal grain crops.
• Irrigated ryegrass paddocks surplus to immediate grazing requirements, are being cut for hay or silage depending on the maturity of the growth and time since its last watering.
• Dryland pasture cut two weeks earlier in the King valley have now been baled, some to be wrapped as silage other left as they are for storage ah hay and moved under cover.
• Dryland turnout paddocks have all dried off west of Benalla and Yarrawonga.
• Some winter-feed paddocks are receiving their second watering to extend the growing season and pasture bulk. Summer irrigation paddocks are being regraded and resown as the temperatures rise for the summer active pasture species.
• Opportunities for grain purchases with direct loading out of paddocks saving some handling costs. Too early yet to price grain for 2014 deliveries.
• Wait till the quality of the present wheat harvest is better known, hoping for significant tonnages of late stripped weather damaged wheat at depressed prices to human consumption categories.

• Baling cereal hay is well underway and good yields are being reported but quality is variable. Buyers are well advised to get feed tests and inspect hay before making purchases this year.
• Large areas of frost damaged cereal crops are now being cut for hay now in Southern NSW and Northern Victoria although the amount of hay being produced looks set to be down on early predictions. This increased hay production will assist with re-stocking diminished supplies.
• Cereal hay prices have eased approximately $10 this week now trading at $140-$180t delivered to the GV, the weakening market is attributed to the news of frosted cereal crops being cut for hay and the variable quality of new season hay.
• Pasture silage production is slightly down on previous years; however there is a lot of interest in summer crops like maize, sorghum and millet intentioned for silage early next year. This is driven by good water allocations.
• Bulk Lucerne remains steady, around $220-$260 delivered, however there is some speculation prices could increase due to higher water prices and low supply.
• There is interest from some buyers in securing vetch behind the baler from the Wimmera and northern Victoria. With limited carry over and lower than forecast yields there is likely to be a shortage of vetch in 2014. Prices remain firm at around $220-$260 delivered to the GV.

• Sale November rainfall: 0.4mm (Ave: 63.6mm).
• YTD: 497mm (Ave: 543mm), compared to 553mm this time last year.
• Patchy rain this week with dairy regions receiving 10mm at most.
• SFW Wheat: $ +5 ($299 to $309) With harvest commencing growers are focusing on getting canola off as a priority due to the higher chance of wind damage and seed loss.
• Barley: $ +0 ($244 to $254). New season is beginning to roll in off the header north of the river.
• Triticale: $ +0 ($288 to $298). These prices refer to old season triticale. New season triticale is not predicted to be harvested until early December.
• Feed Oats: $ +0 ($198 to $208). Feed everywhere. No need for oats for grazing animals. Some being bought for chickens in their early stages but little to nothing being bought in the bulk feed market.
• Pasture growth through Gippsland is not as good as experienced last year. Lower spring soil temperatures are suspected to be a significant factor.

• Despite a patchy start to the season silage across Gippsland, production is now well underway. The hay harvest should commence in the coming weeks and looks promising.
• Trading is generally slow, with the exception of new season vetch which is available for around $260-$300t delivered to Gippsland, the market for vetch has firmed approximately $20 this week with increasing interest from buyers trying to secure their 2014 protein hay supplies now.
• New season cereal hay prices are fluctuating as demand is slow and growers wait to see what quantities of hay will be on the market following the frosts. There are reports this week of cereal hay trading at around $220-$250t delivered to Gippsland.
• New season cereal and vetch hay is of variable quality and buyers are well advised to use their trusted hay supplier and ensure they get a feed test before purchasing any hay this year.

• Port Fairy November rainfall: 0.4mm (Ave: 48.2mm).
• YTD: 853mm (Ave: 666.5mm), compared to 685mm this time last year.
• No rainfall this week in the dairy and grain regions.
• SFW1 Wheat: $ -25 ($248 to $258). Margin above barley is still around the $50 mark and is expected to narrow throughout the harvest period.
• Feed Barley: $ -10 ($200 to $210). Barley beginning to come in off the header in the Mallee in significant volumes. Wimmera barley is beginning to brown and both areas have high potential yield.
• Triticale prices $ -15 ($245 to $255). Mallee triticale could be stripped any time mid November.
• Feed oats $ -3 ($178 to $188). Many graziers are interested in old season oats for purchase as drought protection if they are cheap enough. Supply is still relatively limited and they are not currently being used in feed rotations.
• Significant proportions of hay being bailed in the region.
• Wet conditions throughout winter and spring have not allowed reseeding to take place.

• To date the fodder season has been quite patchy due to unfavourable weather conditions reducing the window for fodder, particularly quality silage. Fine weather over the past week has seen silage production pick up again, there is also some early hay being cut.
• The shortened fodder season is increasing interest from local buyers trying to secure hay now, for 2014. These buyers are showing particular interest in new season vetch coming from the Wimmera. Increased trading of vetch has seen the market firm slightly to $230-$260t delivered.
• Reports of large amounts of frosted cereal crops being cut for hay have prompted the prices to ease a further $10 this week to $140-180t delivered, depending on quality. Many growers are opting to sit on their cereal hay until demand picks up in 2014.
• There is speculation that new season pasture hay will start somewhere around $140-150t delivered, however prices will remain speculative for the coming month until new season hay becomes available.

• Mount Gambier November rainfall: 0mm (Ave: 46.8mm).
• YTD: 730mm (Ave: 671mm), compared to 616mm this time last year.
• No rain in the past week helping pasture growth.
• Wheat $ +0 ($255 to $265) New season wheat deliveries much more active with they dry weather continuing.
• Feed barley $ +4 ($231 to $241). Barley is being received in strong volume at south east depots.
• Triticale $ +0 ($230 to $240). It is in extremely short supply and very little to no trade occurring.
• Oat prices $ +0 ($170 to $180) No demand for grain oats with pastures abundant and of high grazing quality. More interest in cereal hay at this time of year.
• Adelaide bids for low grade wheat are $20 a tonne cheaper, and F1 feed barley$10 a tonne cheaper than Portland delivered prices.
• The warmer weather will be good for potential pasture growth.

• Unfavourable weather conditions over the past month have slowed fodder production in South East South Australia and impacted the quality of some silage and hay.
• With large areas set aside for hay production this year and the added pressure of unfavourable weather conditions there is extra pressure on contractors and growers. Some rushed jobs have led to reports of compromised hay quality (e.g. hay being baled too green) which can pose a big risk when the hay is stored or transported. Buyers are encouraged to inspect any hay they purchase and to get a feed test before buying any new season hay.
• Growers and contractors looking for advice on curing hay, click here for more information.
• The supply of lucerne hay is low and the market for lucerne seed remains firm which may influence growers to favour seed production over hay for a more stable return. The result will mean a continuing tight market for protein hay in 2014.
• Prices are speculative for new season hay, and remain unchanged this week as there is limited trading.

• Murray Bridge November rainfall: 0mm (Ave: 25.3mm).
• YTD: 314mm (Ave: 321mm). 407mm this time last year.
• Wheat $ +1 ($232 to $242). Wheat harvested thus far has proven to be of good quality but it is expected to be some frosted grain received from the Clare valley later in the season.
• Feed barley $ +2 ($211 to $221). Barley discount to wheat is just inside the traditional range.
• Triticale $ -20 ($250 to $260). Old season supply has been exhausted. Currently looking like it will be one of the last crops to be harvested within the region.
• Feed oats $ +0 ($173 to $183). Less sheep demand currently for oats with paddock feed increasing. Low interest in grain oats as cereal hay is only being bought as a form of drought reserve.
• At this stage all the wheat that has been received is of good quality, that is suited for human consumption, even through some of it high screenings wheat with elevated grain protein.
• Some frost damage to crops in the Clare valley.
• Better to wait for any inferior/weather damaged grain which may emerge later in the harvest.

• Baling cereal hay is almost completed for 2014 and despite frustrations with the weather growers are reporting good colour and variable quality in their cereal hay. Yields are above average.
• There are some reports of frosted cereal crops being baled which should be of reasonable quality.
• Despite a lack of carry-over from 2012/2013 the big yielding 2013 cereal hay harvest looks set to replenish empty stores locally.
• Supply of protein (medic and vetch) hays is a little less consistent after weather events at baling caused a lot of trouble for growers, resulting in reduced yields and impeded quality.
• There appears to be interest in cutting straw this year which will commence in the coming month. If the quality is good demand will be steady from the domestic and export markets.
• At present prices remain steady this week.

• Bunbury November rainfall: 0mm (Ave: 26.7mm).
• YTD 798mm (Ave: 712mm), compared to 618.6mm this time last year.
• Only 5mm received this week in Harvey.
• Wheat: $ -5 ($280 to $290). New season wheat beginning to be harvested.
• Feed barley $ +5 ($265 to $275). Growers content to sit on harvested barely thus far with little trade occurring at the published price. Increase in price is in the hope of attracting sellers.
• Triticale $ +0 ($270 to $280). Very little trade occurring as the commodity is becoming increasingly harder to source.
• Oats +0 ($200 to $210). New season grain is almost coming in now with the oats looking favourable.
• Harvested crop is massively geared to storage for export at this early stage in the harvest.

• Despite a very poor start to the season WA has come home hard with good rains.

• Baling is well underway and average or better yields have been reported this season.
• Quality is varied this year, a result of high yields and unfavourable weather conditions.
• Hay trading on the domestic market is slow and fodder prices are still speculative. All fodder types remain unchanged this week.

• Smithton November rainfall: 6mm (Ave: 56.9mm).
• YTD: 915mm (Ave: 834mm), compared to 824.8mm this time last year.
• No rain on the main island this week for the first time in a long while.
• Wheat $-25 ($325 to $335). New season harvest and Chicago futures
• Feed barley $ -10 ($290 to $300). Huge discount to wheat on the mainland makes it an attractive buy.
• Triticale prices $ -15 ($333 to $343). Very little demand and mainland harvest will not commence until mid December.
• Oats prices $ -5 ($253 to $263). With enough natural feed available the demand for oats is considerably less. Incoming crops are looking really good and there is plenty of natural feed.
• Gap between wheat and F1 barley seems high, and may narrow as the mainland grain harvest gathers more pace.

• Demand for fodder remains steady and supply is low. Buyers are actively making enquiries now to secure fodder when it becomes available. There is particular interest in securing barley and ryegrass straw.
• Early projections are that supply will be low again in 2014 with demand for fodder from the dairy and beef sectors set to remain steady and unfavourable weather conditions shortening the window for fodder production.
• Prices are speculative and due to limited trading remain unchanged this week.