- With the harvest in full swing this week we have noticed a consistent theme in the market of buyers looking ahead to secure fodder for 2016. However, despite this increase in interest, prices were fairly flat across most regions this week as growers focus on harvesting the crop rather than marketing hay.
- Good yields being reported in many areas, however the combination of below average yields in other regions and generally low stocks going into the harvest suggests that hay stocks may be put under pressure in 2016.
- While the strong beef prices continue to be the key driver for the Northern fodder demand this week we have noted more of a focus on buyers looking towards securing stocks for 2016.
- With much of the new season’s crop already being accounted for and limited opportunities for further production and/or pasture growth it appears that fodder stocks in the North may come under pressure in 2016.
- The harvest continues in Southern regions, benefiting from the generally kind weather conditions for curing and baling.
- A key observation in the market this week has been growers reconsidering their pricing for hay. This has seen a reduction in the opportunities to purchase cheaper hay with grower’s option to store hay if their target prices cannot be met rather than meeting the market.
- One of the key discussion points this week has been how much fodder will be produced in the more Southern regions (South West Victoria, Southeast South Australia and Tasmania). Based on the dry conditions there is an expectation that yields will be below average for both hay and silage.
- Reports from WA continue to be generally positive for both yield and quality for the cereal hay harvest. However dry conditions south of Perth are raising concerns that the pasture hay harvest will be well below average this year.
- Ongoing dry conditions see pasture growth remain limited except where irrigation is in use. This is holding hay prices as growers pass the costs of irrigation on to buyers.
- Beef farmers continue to be some of the largest buyers of new seasons hay with limited pasture available.
- Pasture hay: +/-$0 ($330 to $420/t).Prices remain unchanged this week.
- The harvest is continuing in the Darling Downs region with cereal crops continuing to be taken off. Generally growers have been satisfied with yields on the back of a challenging season.
- New season straw has started to hit the market this week.
- Demand remains steady with cattle farmers’ active in the market acting on the positive beef prices.
- Some patchy rainfall along coastal areas has seen greater pasture growth, resulting in dairy farmers focusing on paddock feed rather than feeding hay.
- Cereal hay: +/-$0 (310 to $340/t). No movement this week.
- Lucerne hay: +/-$0 ($440 to $480/t). Prices steady this week after last week’s reduction.
- Straw: -$20 ($140 to $180/t). Prices eased this week as new seasons stock hit the market.
- Pasture hay: +/-$0 ($270 to $310/t). No movements this week.
North Coast NSW
- The harvest continues in the North Coast with rainfall events causing some delays. This may impact on hay quality and buyers are advised to inspect hay where possible.
- Demand from local feedlots and larger beef businesses in central NSW and QLD has remained steady.
- Rhodes grass in coming into season where irrigation is available and it is expected that availability should be good towards the end of 2015.
- Lucerne hay production continues with growers reporting that both quality and quantity are slightly above average.
- There were scattered reports again this week of new season pasture hay trading however this is yet to influence the market.
- Cereal hay: +/-$0 ($250 to $290/t). Prices held firm this week.
- Lucerne hay: +/-$0 ($300 to $350/t). No price change recorded this week.
- Straw: +/-$0 ($110 to $130/t). Prices remain steady this week.
- Pasture hay: +/-$0 (130 to 150/t). Increased trade reported this week but no price change.
Central West NSW
- The cereal hay harvest continues this week, in some areas being slowed down by scattered rainfall events. Good yields continue to be reported.
- Buyers are favouring the high quality new seasons hay, resulting in limited opportunities to pick up lower grade hay from last season at favourable prices.
- Export hay businesses remain competitive for new season oaten hay.
- Continued high pricing of irrigation water is likely to limit production of lucerne and maize silage. This is predicted to see lucerne prices stay firm.
- Cereal hay: +/-$0 ($220 to $290/t). Prices remained steady this week.
- Lucerne hay: +/-$0 ($340 to $400/t). Prices remain steady this week.
- Straw: +/-$0 ($130 to 150/t). Prices remain steady this week.
- Pasture hay: +/-$0 N/A. There are no reports of pasture trading.
- The hay market in Bega has continued to be relatively static this week as the focus remains on the silage harvest.
- Buyers continue to talk to hay growers in the Northern and Western areas of the state to secure stocks off the back of the baler.
- Commentary from the market has indicated that this year has been one of the best seasons for pasture production and silage conservation. It is expected that a near recorded amount of silage will be harvested.
- Cereal hay: +/-$0 ($270 to $300/t). Prices remain steady this week with minimal trading.
- Lucerne hay: +/-$0 ($330 to $380/t). Prices remain steady this week.
- Straw: +/-$0 ($180 to $190/t). Prices remain steady
- Pasture hay: +/-$0 ($240 to $260/t). Prices remain steady this week.
- The low end price for cereal hay has lifted this week with growers opting to store hay rather than take the lower prices. Strong competition from exporters continues to hold up prices for premium quality hay.
- The trend of low yields and high quality has continued for the cereal hay harvest.
- High temperatures have assisted drying times for hay, but with some crops still in the boot, growers are encouraged to monitor moisture levels.
- Vetch hay production is back this year due to the tight season, accordingly prices are holding firm.
- Irrigation water prices staying up have resulted in a low expectation on the production of lucerne and maize from irrigation this season.
- Cereal hay: +$10 ($190 to $240/t). Prices rose this week on the back of cheaper hay becoming harder to source.
- Lucerne hay: +/-$0 ($280 to $340/t). No price movement recorded this week.
- Straw: +/-$0 ($80 to $110/t). Straw remain steady this week.
- Pasture hay: +/-$0 ($150 to $170/t). No changes reported in the market this week.
- The trade of hay remains slow but consistent in Gippsland with farmers waiting for new season hay.
- Weather conditions have seen a very short silage season with plants maturing much earlier than expected. This will reduce the amount of fodder conserved on farm overall.
- Prices were steady this week reductions have been noted this week but transportation costs are preventing any large scale reductions.
- Cereal hay: +/-$0 ($220 to $260/t). Prices were steady this week.
- Lucerne hay: +/-$0 ($310 to $380/t). Prices were steady this week.
- Straw: +/-$0 ($120 to $150/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($160 to $220/t). No price changes reported this week.
- The continuation of dry conditions this week has seen many growers revising yield predictions. Crops are also coming in earlier than typical keeping both contractors and growers busy in order to capture quality.
- The cereal hay harvest continues this week, with the crops cut so far being reported to have low yields and high quality. There is an expectation that the yields of later crops will be better however there is not expected to be a surplus of cereal hay in the region.
- Forward orders are being filled and hay is also moving into storage for exporters. In addition to this we are hearing growers comment that they are now looking at putting hay into storage rather than meeting the bottom end of the market.
- Cereal hay: +/-$0 ($180 to $220/t). Prices steadied this week.
- Lucerne hay: +/-$0 ($280 to $340/t). Prices remain steady this week.
- Straw: +/-$0 ($110 to $120/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($180 to $220/t). No price changes this week.
Southeast South Australia
- There has been commentary from the market that the season will be finishing one month ahead of schedule this year with growers and contractors working long hours to capture crop quality.
- Another common comment this week was at the lack of hay moving at present. This is mostly due to growers focusing on getting the harvest completed.
- There are reports this week that good volumes of legume hay are available in the region, both vetch and clover. This is expected to provide opportunities for buyers to pick up protein hay at good prices, and keep downward pressure on lucerne prices.
- Silage making is continuing for dairy farmers this week in the coastal areas and is likely to wrap up in the next couple of weeks.
- Cereal hay: +/-$0 ($200 to $280/t). Prices steady this week.
- Lucerne hay: +/-$0 ($280 to $340/t). Prices steady this week.
- Straw: +/-$0 ($110 to $130/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($160 to $240/t). Prices steady this week.
Central South Australia
- With the weather staying mostly dry conditions in Central SA have been much the same as last week with the main activity in the market being the focused on the exporter sector.
- Competition remains strong for higher quality hay among exporters and overall prices for hay have been fair.
- There have been some frosted crops cut which are being purchased by both exporters and the domestic market.
- Domestic demand remains slow as is expected for this time of the year.
- Cereal hay: +/-$0 ($200 to $260/t). Prices were steady this week.
- Lucerne hay: +/-$0 ($280 to $320/t). Prices steady this week.
- Straw: +/-$0 ($120 to $130/t). Prices remain steady this week.
- Pasture hay: N/A. No reported trading.
Southwest Western Australia
- The harvest is well underway in Western Australia and with many growers confirming good yields.
- New season hay is testing well and exporters have been satisfied with the good volumes of higher quality hay baled.
- Frosted wheat crops are providing opportunities for buyers seeking lower price cereal hay.
- Yields of pasture hay in WA; especially in regions south of Perth are expected to be below average this year. This is likely to see a price increase and/or buyers showing a preference for cereal hay.
- Interest from the domestic front remains minimal however beef farmers have been talking with growers to secure feed off the back of the baler.
- Cereal hay: +/-$0 ($180 to $220/t). Prices held firm this week.
- Lucerne hay: +/-$0 ($470 to $520/t). Prices were steady this week following last week’s price reduction.
- Straw: +/-$0 ($90 to $110/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($160 to 200/t). Prices remain steady.
- Last week’s description of a green drought is still the best description for Tasmania. The ongoing dry conditions are likely to limit fodder production.
- Contractors have started on some silage crops in dairy regions and yields have been below average with insufficient rainfall throughout the growing season.
- Despite the potential for a tight hay supply situation in 2016 it appears that there are only limited discussions going on from buyers looking to secure next year’s fodder.
- Demand for hay has remained firm this week however no price changes were noted after last week’s price increase.
- Cereal hay: +/-$0 ($240 to $280/t). Prices steady this week.
- Lucerne hay: +/-$0 ($325 to $350/t). Prices held firm this week but are expected to increase in coming weeks.
- Straw: +/-$0 ($170 to $200/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($200 to $260/t). Prices remained steady this week as the new seasons hay harvest is starting.