National Summary
- Hay markets around the nationhave experienced minimal changes this week as most areas are waiting to seewhat the new season harvest will bring. Increasing transport costs arecontributing to price variations as buyers have to source hay from furtherafield. Historically, the market expects to see a softening of hay prices atthis time of year as sellers move stock on to the market making way for thecoming harvest. However this is not being observed this year reflecting the lowstocks of hay nationwide.
- With the 2015 harvest on thehorizon negotiations are underway for forward hay contracts and it is expectedthat interest in these will increase in weeks to come.
- While it remains too early topredict the size of the 2015 fodder harvest there is general commentary thatfurther spring rains will be required in most areas to see average crop yields.
Northern Australia
- Ongoing adverse growing conditions have caused some speculation from farmers if they will be able to carry crops through to grain harvest or if they will cut their losses and make hay. It is anticipated that the next three weeks will be the critical time for rainfall and will ultimately influence grower decisions. However it is likely that a greater percentage of fodder will be baled in the region.
- In other areas of Northern Australia the harvest continues seeing new season hay arrive just in time to replenish low stocks of pasture hay. Some irrigated hay remains available in the market place but at higher prices.
Southern Australia
- Growers are well into clearing out sheds for the coming harvest in Southern regions, however these stocks that are becoming available are yet to cause a softening of hay prices. The key reason behind the market remaining steady is the overall low quantity of fodder.
- The largest amount of activity in the hay market is currently being noted in Tasmania. This is occurring off the back on adverse conditions hampering pasture production. Dairy businesses are the most active buyers seeking large volumes of hay with a reduced focus on quality. While some farmers have expressed concerns over prices the market shows no sign of slowing with demand consistent for large orders.
Western Australia
- The Western Australian market has seen another week without any significant changes. Farmers remain positive for the coming season with follow up rainfall last week adding to the optimistic outlook. Forward contracts are being established but it is too early to estimate what crops will yield. Domestic markets remain relatively static.
Regional Commentary
Atherton Tablelands
- Stocks of dryland pasture hay remain low following consistent demand.
- Irrigated pasture hay is coming onto the market at a higher price due to increased production costs and steady consumer demand.
- There has been no price movement this week despite increased interest.
- Pasture hay: +/-$0 ($300 to $390/t). Prices remain firm this week.
Darling Downs
- The harvest continues for some growers in the region.
- Adverse seasonal conditions in some parts of the region may see a large number of growers cut crops for hay rather than taking them through to grain. Rainfall and the possibility of frosts in the coming three weeks will determine farmer’s decisions.
- With market forces relatively unchanged this week, no price variants were recorded.
- Cereal hay: +/-$0 (350 to $380/t).Prices remain steady this week.
- Lucerne hay: +/-$0 ($450 to $500/t). Prices remain steady this week.
- Straw: +/-$0 ($170 to $190/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($270 to $310/t). Prices remain steady this week.
North Coast NSW
- Good rains and pasture growth has seen limited demand for hay from livestock producers.
- Beef farmers continue to source fodder but the demand is limited with orders few in numbers.
- No price movement was recorded as a result of kind growing conditions and average stocks of hay.
- Cereal hay: +/-$0 ($240 to $300/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($300 to $370/t). Prices remain steady this week.
- Straw: +/-$0 ($110 to $150/t). Prices remain steady this week.
- Pasture hay: +/-$0 N/A. Limited reports of trading in sufficient quantities to be able to determine a price.
Central West NSW
- Growers and traders continue to clear out hay sheds in preparation for the coming harvest. This has been the catalyst for a wide range of quality hay entering the spot market.
- Inquiries for hay remain strong as beef producers look to maintain animal live weights.
- Growers are optimistic about the season ahead but spring rainfall will dictate overall yields for the region. For now fodder producers are still waiting to see what the coming season will bring and talking with clients.
- Cereal hay: +/-$0 ($240 to $300/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($340 to $400/t). Pricing remains steady this week.
- Straw: +/-$0 ($150/t). Limited trade and pricing remains steady this week.
- Pasture hay: +/-$0 N/A. There are no reports of pasture trading.
Bega Valley
- The market for silage remains buoyant and sellers of round bales are faring best due to steady demand from dairy farmers.
- Silage conservation is continuing due to the continuation of fair growing conditions.
- Commentary from the market this week has highlighted that contractors are receiving a higher number of inquiries for sowing down summer crops early.
- No price movements were recorded this week as a result of limited hay trading.
- Cereal hay: +/-$0 ($270 to $300/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($330 to $390/t). Prices remain steady this week.
- Straw: +/-$0 ($180 to $200/t). Straw prices remain steady this week.
- Pasture hay: +/-$0 ($240 to $260/t). Prices remain steady this week.
Goulburn/Murray Valley
- Both buyers and sellers are waiting to see what the new season will bring. In preparation for this, some sellers are clearing out sheds and floating product on to the spot market at current prices.
- There is interest in hay from dairy buyers however the majority are operating “hand to mouth” for now, holding off from large purchases with the new season approaching.
- Larger businesses are reviewing annual animal feed budgets and seeking forward contracts with hay producers.
- Overall hay stocks remain low in the region with the majority of visible hay in the region already committed.
- No price changes were reported this week.
- Cereal hay: +/-$0 ($210 to $260/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($310 to $360/t). Prices remain steady this week.
- Straw: +/-$0 ($90 to $110/t). Prices remain steady.
- Pasture hay: +/-$0 ($150 to $180/t). Pricing remains steady this week.
Gippsland
- Favourable weather conditions in the region have again resulted in farmers focusing on feeding pasture rather than buying hay.
- Transport costs continue to contribute significantly to buyer reluctance. As buyers look further afield for fodder the transport component is increasing.
- There are some farmers that are planting spring cereals for silage production.
- This week we noted some resistance to current fodder prices however at the same time here are a number of buyers talking with growers about locking in hay supply for the coming year.
- No changes were recorded in the Gippsland hay market as farmers are focusing primarily on utilising pasture rather than buying hay.
- Cereal hay: +/-$0 ($240 to $300/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($350 to $410/t). Prices remain steady this week.
- Straw: +/-$0 ($120 to $150/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($180 to $230/t). Prices remain steady this week.
Southwest Victoria
- Despite an expectation that colder weather would drive interest in the market hay prices remain steady this week.
- The limited activity in the market appears to be due to both buyers and sellers awaiting the arrival of spring.
- Sellers continue with clearing out sheds getting ready for the 2015 harvest.
- Beef farmers are accounting for a large proportion of interest in the Southwest hay market.
- Cereal hay: +/-$0 ($240 to $260/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($310 to $350/t). Remain steady this week.
- Straw: +/-$0 ($120 to $140/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($180 to $220/t). Prices remain steady this week.
Southeast South Australia
- After price increases last week, the market has experience a relatively static week.
- Typically we expect to see a softening in the market as growers clear our sheds for the coming season, however with overall stocks low, a price drop appears unlikely.
- The interest in straw as a low cost feed supplement seems to be in decline.
- Sourcing higher quality hay remains difficult, however it can be sourced providing buyers are willing to meet the market.
- Cereal hay: +/-$0 ($240 to $260/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($300 to $350/t). Prices remain steady this week.
- Straw: +/-$0 ($110 to $130/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($180 to $240/t). Prices remain steady this week
Central South Australia
- Hay stocks are low across the region causing hay traders to look further afield to source hay.
- Despite the low stocks of hay due to limited demand in Central SA there were no price changes noted this week.
- Cereal hay: +/-$0 ($220 to $240/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($280 to $340/t). Prices remain steady this week.
- Straw: +/-$0 ($120 to $130/t). Prices remain steady this week.
- Pasture hay: N/A. No reported trading.
Southwest Western Australia
- Growers remain positive about the coming harvest.
- There has been limited demand for hay in the domestic market and prices remain steady as result.
- Growers are in discussions with exporters about contacts for the 2015 harvest.
- Overall, there has been little change in the WA market with no price movements noted.
- Cereal hay: +/-$0 ($200 to $220/t). Prices remain steady.
- Lucerne hay: +/-$0 ($490 to $530/t). Prices remain steady this week.
- Straw: +/-$0 ($90 to $110/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($160 to 200/t). Prices remain steady.
Northwest Tasmania
- As predicted last week further price increases were noted in the hay market this week.
- The ongoing demand for fodder from the dairy industry is continuing to diminish hay stocks while adverse weather conditions limit pasture growth.
- Once again quantity has been the main focus for buyers with securing stocks taking a precedent over quality.
- On the back of low feed stocks some businesses are choosing to sow spring cereals to boost fodder conservations production.
- While there is commentary from some buyers that current hay prices are too high the market shows little sign of slowing.
- Cereal hay: +$5 ($240 to $280/t). Prices have increased this week.
- Lucerne hay: +$10 ($310 to $350/t). Prices have increased this week.
- Straw: +/-$0 ($170 to $200/t). Prices remain steady this week.
- Pasture hay: +$25 ($190 to $260/t). Prices have jumped this week.