- This week has seen increased volatility on hay prices across the country, with both new season hay becoming available and speculations about hay supply in 2015 being key drivers. With the 2014 Hay season progresses it appears that overall hay yields will be down this season, in some regions we are already seeing prices strengthening accordingly.
- Buyers requiring hay in 2015 are encouraged to start talking to their hay suppliers now as harvest is commencing in most regions and buying hay at harvest is often the most cost effective way to secure stocks for the year.
- Bailing of cereal hay for the export market is also well underway. While yields will be down overall, at this stage quality appears to be better than the 2013 season. Exporters are actively seeking good quality cereal hay at present.
- Spring silage is underway with yields expected to be lower than average overall.
- Conditions in Northern Australia remain dry and local hay supplies are low. Buyers are now bringing in new season hay from Central West and southern NSW.
- The good news is that with new season cereal hay coming onto the market in southern NSW, prices have eased slightly.
- There are reports that cotton and sorghum planting has began but overall it is expected summer crop plantings swill be well below average. This will impact the supply of cotton trash and summer crop in early 2015.
- Baling is underway on the north coast of NSW. Growers close to the coast have benefitted from late winter rain however yields are still slightly below or around average.
- Silage is well underway in southern Australia. Good yields are being reported so far, but overall we expect spring silage production to be below average, similar to the 2013 harvest.
- Cereal hay production in north central Victoria is just commencing and yields are expected to be average or better.
- The hay harvest in northern and western Victoria is now underway with growers reporting yields to be well below average. There is some speculation that vetch production in this region could be up to 70% down on 2013. This will impact the amount of protein hay available in parts of Victoria.
- Buyers looking to secure protein hay in 2015 are advised to talk to their suppliers now. High water costs and low yields will contiunue to impact lucerne and vetch hay supplies and we expect the market for protein hay to be tight in 2015.
- Cereal hay production is underway with an estimated 60% of the 2014 cereal crop now baled. Some growers have had quality affected due to rain this week.
- Quality hay is sought after by exporters who are keen buyers for new season hay.
- There is a lot of interest in baling pasture hay in south west WA. Growers are in need of good rain to finish the season as dry conditions may be impact yields once again in 2014.
- Demand remains steady and supplies are low due to the steady demand from livestock producers.
- Second cut hay will move quickly as it becomes available in the coming weeks.
- Pasture hay: +/- $0 ($300 to $330/t). Prices remain steady after picking up last week. With supply tight prices aren’t likely to ease until more hay becomes available.
- Despite small amounts of patchy rain this week conditions remain very dry and water storage is low.
- The demand for hay is strong at present and local supplies of new season hay are moving quickly. New season hay is also being sourced from southern NSW, Victoria and South Australia.
- Feedlots continue to be active buyers seeking mostly cereal hay and straw.
- Some early sorghum and cotton crops are now being planted. It is expected summer crop plantings will be lower than average due to the lack of water.
- Cereal hay: -$10 ($380 to $400/t). Prices eased this week which is likely driven by new season hay becoming available in the southern regions. For hay moving in from the southern states freight is a large component of the cost, helping to keep prices firm for this time of year.
- Lucerne hay: +/-$0 ($450 to $500/t). Prices remain steady this week. Lucerne hay is very difficult to source at present and supplies will be short in 2014/15. Prices are likely to remain firm.
- Straw: -$10 ($210 to $230/t). Prices eased further this week. The slight reduction in price is likely a reflection of the quality of straw available. Supplies are becoming very limited at present. Straw production will be down in 2014 due to poor crop performance.
- Pasture hay: N/A. Due to the poor growing conditions over the past few months very little pasture hay has been made in 2014.
North Coast NSW
- Demand for hay has eased from its peak in winter but remains steady. Conditions are drying off quickly and may impact the demand for hay in the coming weeks if there is no follow up rain.
- Rain in winter has boosted production just in time for silage and hay producers. With the new season now underway reports indicate that the season should be average or slightly below.
- As new hay comes onto the market we are seeing a big shift downwards in prices. Cereal hay and Lucerne hay pricing softened considerably this week. However it is still too early for new season pasture hay and straw.
- Silage is underway but the drier conditions have favoured hay as an alternative to silage.
- Cereal hay: -$75 ($260 to $280/t) Prices indicate a correction in the market as new season hay becomes available. Previously hay was being freighted from southern Australia which was adding to the cost.
- Lucerne hay: +/-$165 ($300-$320/t). Prices indicate a correction in the market as new season hay becomes available. Despite new season hay coming onto the market we protein hay to move very quickly and encourage buyers to talk to their hay suppliers now.
- Straw: +/-$0 N/A There are no reports of straw trading at present due to the low supply. New season straw should become available in the next month.
- Pasture hay: +/-$0 N/A. There is very little pasture hay available at present and have been no reports of trading.
Central West NSW
- Trading is slow at present however there has been a lot of interest from buyers looking to source their 2015 hay requirements.
- The hay season is now underway with Lucerne and cereal hay being cut. Growers with irrigation are reporting good yields and high quality. Dry land crops have suffered from the dry finish to the season which will impact yields.
- There is a lot of interest in baling hay this season in order to refill empty haysheds.
- Water prices remain high and allocations, this is likely to impact hay prices, particularly for lucerene. We are expecting Lucerne hay supplies to remain tight and prices to remain firm across Australia in 2015.
- There has been a downward shift in hay pricing, particularly for cereal hay this week as new season hay becomes available.
- Cereal hay: -$65 ($200 to $250/t). Prices are indicative of a reset in the market as new season cereal hay becomes available.
- Lucerne hay: -$85 ($280 to $300/t). A big drop in prices this week indicates that new season Lucerne hay is coming onto the market. Despite the drop prices are firmer than usual for this time of year. High water prices, low supply and steady demand are the key drivers.
- Straw: +/-$0 N/A. There are no reports of straw being traded this week as supplies are low and demand is slow. New season straw pricing should become available in the coming month.
- Pasture hay: +/-$0 N/A. There are no reports of new season pasture hay trading at present. New season pasture hay should become available in the coming months.
- Demand for has is fairly slow as many in the region concentrate on conserving their own fodder. Due to the lack of hay trading most of the prices are speculative this week, based on new season hay prices from key supply regions.
- Silage is well underway. Yields are reported to be down on average due to the dry finish to the season.
- Hay supplies are low in most of the key hay growing regions that supply Bega. With the season just starting to get underway now many growers are expecting below average yields due to the dry finish to the season. With yields back and demand steady, particularly from NSW and QLD, supplies of hay may be short throughout NSW in 2015.
- Cereal hay: +/-$0 ($300 to $330/t). Cereal hay prices remain steady this week. New season hay coming on to the market influenced a large drop in pricing over the past month.
- Lucerne hay: -$15 ($350 to $370/t). With new season lucerne about to be baled prices have eased slightly this week. However lower than expected yields and strong competition are likely to keep prices firm throughout the coming year.
- Straw: +/-$0 ($180 to $200/t). Straw prices remain steady and supplies are low.
- Pasture hay: +/-$0 ($160 to $180/t). There is limited trading of pasture hay at present. Prices remain steady.
- Demand for hay is fairly slow at present with farmers now concentrating on conserving their own hay and silage.
- Silage is underway and contractors are busy trying to meet demand. Spring silage production is slightly down on average but should equal 2013 for production.
- A large amount of hay including vetch, lucerne and cereal has now been cut throughout north central Victoria. Yields should be average this year and quality is expected to be good.
- Growers slightly west have experienced a very dry finish to the season. Some are reporting vetch yields down 50 to 70% on 2013 and cereal hay by 50%.
- There will be strong competition from exporters chasing high quality cereal hay early in the season this year. The impact will be firmer prices on the domestic market, especially if supply comes under pressure to lower than average yields. With this in mind buyers are encouraged to source their 2015 hay requirements now.
- Cereal hay: +$20 ($180 to $200/t). Although there has been little trading this week, we are hearing reports that new season cereal hay is starting firm. Lower than expected yields from the west of the state and strong competition are the key drivers.
- Lucerne hay: +/-$0 ($280 to $320/t). Prices remain steady due to the short supply of Lucerne hay available. There are no reports of new season lucerne hay trading as yet; however some growers are forecasting an opening price of $250/t on farm. Prices will go up quickly this season if water prices remain high.
- Straw: +/-$0 ($90 to $110/t). Prices remain steady as trading is limited.
- Pasture hay: +/-$0 ($150 to $170/t). Trading is slow and pasture hay supplies are good. Prices remain steady this week.
- Trading continues to be slow but steady. Growers are seeking good rain in order finish paddocks for hay.
- Silage is now underway with yields varying depending on the rain.
- Protein hay prices are already increasing in northern and western Victoria. Vetch hay yields are well back this year and prices have already risen from $230 to $240/t on farm to $250 to $260/t and further price rises are expected. .
- Cereal hay: +/-$0 ($240 to $260/t). Prices remain steady this week. Prices rises are expected as new season hay comes onto the market.
- Lucerne hay: +/-$0 ($310 to $330/t). Prices remain steady at present. Rises are expected in the coming weeks in accordance with vetch prices which are already climbing.
- Straw: +/-$0 ($110 to $130/t). Trading is slow and prices remain steady this week.
- – Pasture hay: +/-$0 ($180 to $220/t). Prices remain steady.
- The season is drying off in south west Victoria, with silage is underway but yields well below average. Many growers are questioning the benefit of cutting silage, or even hay, due to the poor yield potential. Instead some are choosing to put stock on paddocks intended for fodder conservation.
- Demand for hay is picking up due to the dry conditions, with vetch hay most sought after.
- Prices for new season vetch have started around $280 to $300/t delivered into south west Victoria. This week we are hearing $300 to $320/t landed into south west Victoria.
- Hay growers in north western Victoria (who typically supply the south west) are now cutting cereal crops for hay. The season is very patchy with yields well below average in most parts of north western Victoria. Overall production will be significantly down in 2014 and this will impact hay supply on the domestic markets.
- Competition on the domestic market is also increasing from exporters and buyers in northern Australia who continue to experience dry conditions.
- Lucerne hay is likely to be very tight in 2015. A combination of lower than average yields and high water prices are the main contributors to this outcome.
- Vetch yields could be up to 70% down on 2013. This will impact the supplies of protein hay on the domestic market.
- The 2014 pasture hay harvest could be well below average if the season doesn’t improve. Growers are just locking up hay paddocks now where they can.
- Hay traders are reporting lots of enquiries for new season hay. Buyers seeking new season hay in 2015 are encouraged to lock in their supplies now.
- Cereal hay: +$65 ($200 to $220/t). Prices remain steady. Now is a good time to secure cereal hay for the year ahead.
- Lucerne hay: +$55 ($300 to $330/t). Prices are speculative at present due to the lack of new season lucerne available. Pricing is based on vetch hay sales which are active in south west Victoria at present.
- Straw: +/-$0 ($110 to $120/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($140 to $160/t). There are limited reports of old season pasture hay trading at present. New season prices are likely to open much firmer due to the predicted shortfall of new season pasture hay.
Southeast South Australia
- Trading is picking up due to the dry finish to the season.
- Silage is just commencing and yields are expected to well back on average.
- The dry conditions are causing particular concern for lucerne hay growers around Keith and Naracoorte. There is little carry over lucerne hay coming into the new season and 2014 yields may be well below average. Anyone seeking lucerne hay in 2015 is well advised to lock in their supply arangments early.
- Cereal hay: +$20 ($200 to $220/t). With conditions drying off new season cereal hay is now in demand. Hay is moving in from Western Victoria to meet the demand.
- Lucerne hay: +$20 ($300 to $320/t). Prices are speculative as new season hay is still a few weeks away. Prices are based on vetch hay which is sought after at present.
- Straw: +/-$0 ($105 to $115/t). Very little straw is trading at present. Supplies are low and prices remain steady.
- Pasture hay: +/-$0 ($135 to $155/t). There is limited trading of pasture hay at present.
Central South Australia
- The cereal hay harvest is now well underway. Approximately 70% of this season cereal hay and 50% in the bale.
- Yields are slightly down on 2013; however quality is much improved this year due to the dry finish.
- Exporters are active in securing their hay for the year ahead. They are particularly seeking good quality hay.
- On the domestic market buyers and sellers are sitting out of the market to see what the news season will bring. Dry conditions in Victoria and south East SA may impact the Central SA market in the coming months as buyers try to secure their hay for the year ahead.
- Cereal hay: + $15 ($180 to $200/t). Prices firmed slightly this week as new season hay becomes available. The higher quality of new season hay is influencing the price.
- Lucerne hay: +/-$0 ($300 to $330/t). Prices remain steady at present. As new season lucerne comes onto the market a firm starting price is expected.
- Straw: +/-$0 ($120 to $130/t). Prices remain steady. With trading slow there has been little movement in the straw market for the past few months. Looking to the 2014/15 straw season yields may be slightly down which could impact supply.
- Pasture hay: N/A. No reported trading of late.
Southwest Western Australia
- Trading is steady at present but may increase over the coming weeks if there is no follow up rain.
- As hay supplies are low many growers are interested in baling pasture hay and silage this year. Yields may be low if there is no follow up rain in the coming weeks.
- The cereal hay season is already underway in the key hay growing regions. It is estimated the approximately 60% of this seasons cereal hay is in the bale. Rain in the past week has impacted hay which has already been cut and quality of new season hay will likely vary as a result.
- Exporters will be keen to source good quality hay this season. For domestic buyers looking to source cereal hay for 2015 now is a good time to start talking to your hay supplier.
- Cereal hay: +/0$0 ($160 to $180/t). Prices remain steady this week. Price rises are expected if hay quality remains good.
- Lucerne hay: +/-$0 ($500 to $550/t). Lucerne hay is very difficult to source. Prices are unchanged due to the tight market.
- Straw+/-$0 ($85 to $115/t). Limited trading of late, prices remain unchanged.
- Pasture hay: N/A. Due to steady demand earlier in the year there is very little pasture hay available. No prices have been reported of late.
- Conditions are patchy with a number of areas drying off quickly and in need of rain. Accordingly demand for hay, particularly in the North West dairy region remains steady.
- Prices are fairly speculative as on farm fodder supplies are low and new season hay is still a few months away.
- Some buyers are actively seeking hay and locking in their hay contracts for 2015 now in order to secure quality hay for the year ahead.
- The 2014 pasture hay harvest could be well below