National Summary
- The demand for hay appears to have tapered off over the past few weeks. Whilst this trend is fairly typical for this time of year, the slower demand for hay is also due to rain in some areas over the past few weeks.
- Prices for hay are now starting to flatten out, with very little movement in the market this week reflecting slowing demand. The hay market is expected to stay quiet over the coming weeks through the Christmas and New Year period. In a typical year the hay market will pick up again in late January early February, when the outlook for the coming season is clearer and there is a better understanding of hay supply.
- As per the last few years, protein hay is going to be in short supply. This has been reported in most regions and is likely to impact protein hay prices in 2015. Demand for all types of protein hay is steady at present. Chaff mills are particularly active buyers, securing top grade hay and paying top dollar for the product.
- In general buyers in the market at present are chasing good quality hay. While much of the hay made in 2014 was good quality, yields were down on average and supplies of good quality hay are likely to become tight in 2015 if the steady demand continues.
Northern Australia
- Demand for hay has eased in south east QLD over the past few weeks due to summer storms and patchy rain. There continues to be steady demand for hay from livestock producers in western and central QLD as well as the Northern Territory.
- Rain has also impacted hay production, particularly for growers baling straw in southern QLD and hay on the north coast of NSW. Production has stopped for now and hay quality may be impacted due to rain in some areas.
- Feedlots and larger dairies remain active buyers, trying to secure their hay supply for 2015.
- Following the rain over the past few weeks many growers will be keen to start planting their summer forage crops (Millet, Sorghum, Soybeans). Follow up rain will be needed to establish these crops.
- Straw production has been active over the past couple of months but is now coming to an end. Many growers are trying to stockpile roughage for what looks like a tight year ahead for feed.
Southern Australia
- Demand for hay has slowed considerably in the past few weeks. In Gippsland and Tasmania pasture hay production is now underway. In other southern regions the cereal and pasture hay harvest is complete. Later cuts of lucerne hay are continuing and in some regions second cut silage is now underway.
- Many growers in Gippsland and Bega are taking advantage of the favourable growing conditions to conserve as much fodder as possible, with particular interest in silage.
- Vetch and lucerne hay continues to be in demand. Chaff mills have been active in securing high grade lucerne hay early this year and dairy farmers in Victoria are now looking for vetch hay as their pastures dry out. There are reports from hay growers and traders that most vetch hay is largely sold or under contract and supplies will be tight in 2015.
Western Australia
- Pasture hay production varied in the south west this year and there was a lot of interest in baling pasture hay but some areas didn’t make average yields due to the dry finish to the season.
Regional Commentary
Atherton Tablelands
- Hay supplies are short and recent summer storm activity may interrupt harvest for any late paddocks intended for hay.
- Prices are firmer than average for this time of year with the shortfall in supply is driving the increase in pricing.
- Pasture hay: +/-$0 ($320 to $340/t). Prices remain steady this week.
Darling Downs
- The demand for hay is now starting to slow, driven by rain in the past few weeks and the upcoming Christmas break.
- In particular the interest in straw, which has been strong over the past few months, has slowed right down. There is still a market for lower grade cereal or pasture hay where it can be sourced at a reasonable price.
- Hay supplies locally are very low with most hay now being sourced outside the region. Some straw is still available locally.
- Protein hay is particularly difficult to source at present with most lucerne hay coming from NSW, Victoria or South Australia. Protein hay prices are firm and it is likely that prices will stay strong and demand will remain tight into 2015.
- Cereal hay: +/- $0 ($380 to $400/t). Prices remain steady this week and with hay moving big distances freight makes up a key component of the price.
- Lucerne hay: +/-$0 ($450 to $500/t). The market for lucerne hay remains firm but steady. With the limited supply prices are expected to stay firm in the coming months.
- Straw: +/- $0 ($180 to $200/t). Like other fodder varieties, prices are speculative.
- Pasture hay: +/- $0 ($380 to $420/t). Prices are speculative and are based on a few reports of pasture (rye and rye/clover blend) hay from southern NSW. Due to the poor growing conditions over the past few months very little pasture hay has been made locally in 2014.
North Coast NSW
- Demand for hay has slowed right down. There is some interest in high grade hay from the horse and hobby farmer market, however most buyers are holding off until 2015 before they make their purchases.
- Prices remain firm but steady this week, despite the drop off in demand. Firm prices are a result of the low supply of hay locally. Prices may ease slightly in the New Year if hay growers are able to start baling again after the rain.
- Growers are now looking to plant their summer forage crops for feed and silage early in 2015.
- Cereal hay: +/-$0 ($280 to $300/t). Prices remain steady this week.
- Lucerne hay: +/- $0 ($350-$400/t). Prices remain firm but steady this week. It is expected prices will flatten out now heading into 2015.
- Straw: +/-$0 ($120 to $160/t). Prices are steady but speculative as new season straw is only just coming onto the market.
- Pasture hay: +/-$0 N/A. There is very little pasture hay available at present and very few reports of trading in bulk quantities.
Central West NSW
- The demand for hay is now starting to ease. It is expected that the market will pick up again early in the New Year.
- Rain over the past week has benefited lucerne hay growers who are expecting average yields from their next cuts in the coming weeks.
- There has been steady demand from the chaff mills for lucerne hay. Feedlots in southern Queensland have also been active in securing lucerne.
- Lucerne hay supplies are likely to be tight in 2015. With high grade hay moving quickly and strong interest in any other grades of lucerne.
- Cereal hay: +/-$0 ($220 to $260/t). Prices remain steady this week after softening slightly last week.
- Lucerne hay: +/- $0 ($320 to $400/t). Prices remain steady this week. Lower grade lucerne is trading in the mid to low $300’s and premium lucerne is trading at $400.
- Straw: +/-$0 N/A. There are no reports of straw being traded this week which is mainly attributed to low stocks and slow demand.
- Pasture hay: +/-$0 N/A. There are no reports of new season pasture hay trading yet. New season pasture hay should become available in the coming months.
Bega Valley
- Significant rain events in the past few weeks have slowed fodder production in the Bega region.
- Some silage is still to be cut and hay production will be put off due to the damp conditions. It is likely this delay will impact hay quality of crops that are now ready to be cut.
- Demand for hay is slow at present. Spring growing conditions have been favourable for farmers in the region and there is plenty of paddock feed available.
- Cereal hay: +/-$0 ($280 to $320/t). Cereal hay prices remained steady this week due to the flattening demand.
- Lucerne hay: +/-$0 ($380 to $400/t). Prices remain firm but steady this week. Prices remain strong in key supply regions and a shortfall in supply is expected in 2015.
- Straw: +/-$0 ($180 to $200/t). Straw prices remain steady but supplies are low.
- Pasture hay: +/-$0 ($260 to $280/t). Pasture hay prices remain steady this week. Reports of trading are limited at present as growers are concentrating on making their own fodder as opposed to buying.
Goulburn/Murray Valley
- The demand for hay, as in many other regions, is starting to slow this week. Typical of this time of year, many farmers will hold off their hay purchases until early in the New Year.
- There is still a steady market for high grade hay, with chaff mills actively seeking premium lucerne.
- Lucerne hay growers are moving on to their second or third cuts. Lucerne hay is in high demand and new season hay is moving quickly.
- Prices are fairly steady this week and are expected to remain so until late January or early February when the seasonal outlook becomes clearer.
- Cereal hay: +/- $0 ($200 to $240/t). Prices remain steady this week. Interest from both local and interstate buyers is starting to slow coming into the Christmas period.
- Lucerne hay: +/-$0 ($300 to $320/t). Prices remain steady this week. Demand is also steady.
- Straw: +/-$0 ($90 to $110/t). Prices remain steady as trading is limited.
- Pasture hay: +/-$0 ($150 to $170/t). Prices remain steady this week and are unlikely to vary too much in the short term.
Gippsland
- Demand has slowed in the past few weeks as many farmers concentrate on conserving their own hay. Traditionally hay trading doesn’t pick up until early in the New Year as farmers start to plan for their autumn calving.
- The hay season has been interrupted by rain in the past few weeks. This rain may impact the quality of hay that has been cut. For some growers the rain will help finish hay paddocks and enable second cuts of silage.
- There is a lot of interest in fodder conservation this year amidst fears that hay supplies will be tight in 2015. Silage production is likely to be above average in many parts of the region; however pasture hay production may be slightly back.
- Cereal hay: +/-$0 ($280 to $300/t). Prices remain firm but steady this week.
- Lucerne hay: +/-$0 ($380 to $400/t). Prices remain firm but steady this week. Tight lucerne supplies are keeping prices high at present.
- 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. New season pasture hay is likely to come on line in the coming weeks.
Southwest Victoria
- Demand for hay has finally started to ease in south west Victoria. Dry conditions over the past few months have lifted the demand for protein hay, such as vetch, although buyers are now in the position of having secured their hay or are willing to hold off until after Christmas before the re-enter the market.
- New season pasture hay is now starting to become available and based on commentary from growers we expect yields will be well below average this year. Trading of 2014 pasture hay is likely to be well below average. There has been some 2013 hay traded recently but the quality is very poor compared to new season hay.
- There is some interest in baling straw. The dry finish to the season has benefited the quality of new season straw.
- Cereal hay: +/-$0 ($220 to $240/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($320 to $360/t). Prices remain firm but steady this week.
- Straw: +/-$0 ($110 to $120/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($180 to $240/t). Prices remain steady at present but further price rises may occur if the season stays dry.
Southeast South Australia
- Demand for hay has eased in the past few weeks as buyers hold out to see how the season is shaping up. There is still some interest in cereal and protein (vetch and lucerne) hay.
- Pasture hay production is well below average this year, however the quality of new season hay is much higher than 2013.
- Lucerne hay yields are well below average due to the dry spring; this is particularly evident in the lucerne growing region around the Naracoorte.
- Cereal hay: +/-$0 ($240 to $260/t). Prices remain firm but steady this week.
- Lucerne hay: +/- $0 ($300 to $350/t). Prices remain steady this week and are firm for this time of year.
- Straw: +/-$0 ($105 to $115/t). Very little straw is trading at present. Supplies are low and prices remain steady.
- Pasture hay: +/-$0 ($180 to $220/t). Prices for new season pasture hay remain steady this week.
Central South Australia
- Like most other regions the demand for hay has dropped off over the past few weeks.
- Exporters have been active buyers early this season and have picked up a lot of high grade cereal hay.
- There has also been strong demand from dairy farmers and livestock producers for new season vetch. Any protein hay varieties are now in short supply and becoming difficult to source.
- The live export market in the Northern Territory is starting to run short of hay. Buyers are now sourcing lower grade hay, such as frosted wheaten hay, from the mid north of South Australia to me their demand.
- Cereal hay: +/- $0 ($180 to $220/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($280 to $330/t). Prices remain steady this week. With a shortfall in supply likely to impact most lucerne hay growing regions we can expect firm prices for all protein hay varieties in 2015.
- Straw: +/-$0 ($120 to $130/t). Prices remain steady this week and trading is limited.
- Pasture hay: N/A. No reported trading of late.
Southwest Western Australia
- Demand for hay is slow but steady at present. With the hay and silage harvest now complete and straw production well underway it appears that hay supplies are good in WA. However some regions were impacted by the dry finish to the season which affected yields.
- The quality of cereal hay available in WA varies. There has been some excellent quality hay made in 2014 and some hay which was badly impacted by rain. Growers are encouraged to get a feed analysis done and visually assess hay before purchase.
- The straw yields are expected to be down overall due to limited demand on both the domestic and export markets at this stage.
- Cereal hay: +/- $0 ($160 to $180/t). Prices remain steady this week but they are likely to fluctuate in the coming weeks and months.
- Lucerne hay: +/-$0 ($480 to $520/t). Prices remained firm this week with generally very little variation on the lucerne hay market due to the short supply available in WA.
- Straw+/-$0 ($85 to $115/t). Limited trading of late and prices remain unchanged.
- Pasture hay: +/-$0 ($150 to 180/t). New season pasture hay is now coming online. Prices remain steady at present due to the limited trading.
Northwest Tasmania
- Demand for hay has slowed over the past few weeks although there has been some interest in new season cereal hay.
- Over the past few weeks significant rain events have impacted the hay harvest. The quality of hay cut in the past few weeks that has not made it into the bale will be significantly impacted.
- Prices are fairly speculative as on farm fodder supplies are low and new season hay is still a few weeks away.
- Cereal hay: +/-$0 ($220 to $240/t). Cereal hay availability is very limited but prices remain steady.
- Lucerne hay: +/-$0 ($300 to $320/t). Prices remained steady this week as the new season is not too far away.
- Straw+/-$0 ($170 to $190/t). There is limited demand for straw with pasture hay being a more favourable alternative.
- Pasture hay: +/-$0 ($170 to $190/t). Prices remain steady this week. With new season pasture hay just starting to come online there may be some price variation in the coming weeks.