National Summary
- Limited change was noted in the national hay market this week with the contrast between northern and southern markets continuing. Recent rainfall has topped up pasture growth and benefiting both hay and silage stocks in the north, while storms have affected some southern areas most are still feeling the pinch when it comes to available pasture growth.
- This week we have noted that generally speaking the market has slowed. This is partially driven by a reluctance of buyers to commit to current prices and in other areas we are seeing buyers sit out of the market as the season unfolds.
Northern Australia
- The widespread rainfall seen in recent weeks has subsided somewhat this week giving many growers a much needed window to harvest crops.
- There continues to be a low demand for fodder across most regions towards the coast with good pasture availability and silage stores providing a positive outlook for the months ahead.
- The rainfall has resulted in some issues in hay quality so careful inspection of hay is strongly recommended.
Southern Australia
- There were mixed reports on the demand for fodder in the southern regions this week. Demand has slowed in a number of regions where buyers have acted to secure fodder for the coming season however in areas such as Tasmania and Gippsland where the dry conditions have hit hardest demand remains steady.
- Of particular note this week is reports of flooding and storm damage to crops in Tasmania. If should also be noted that demand for fodder remains high.
- Similarly in southern Gippsland there is a high demand for hay however buyers in this region are reporting that adequate stocks are available.
Through most southern regions buying has eased as many farmers have heeded warnings of lower fodder stocks this year and now stored enough hay for the coming months.
Western Australia
- The price for cereal hay rose this week of the back of increasing demand in a competitive market. Despite favourable weather conditions during hay making, low yields have resulted in less hay than typical being available this year in WA. With the majority of quality cereal hay going to export there is expected to be low supply later in the year for much of the region.
Regional Commentary
Atherton Tablelands
- There continues to be a low demand for fodder in the region as continued rainfall has resulted in good pasture availability.
- At this point in time demand has also lessened from beef producers weaning cattle.
- Rhodes grass continues to be cut between rainfalls however this inclement weather is resulting in some concerns over hay quality.
- The market is expected to continue this lull in trading until cattle mustering starts in the coming months or demand from the live cattle export trade increases.
- Pasture hay: +/-$0 ($300 to $400/t). Prices remain steady this week with the large price spread reflecting the increased cost of producing irrigated hay.
Darling Downs
- The region continues to experience a charmed season as good rain has ensured several cuts of large volumes of hay.
- Growers continue to focus on summer crops with some bailing of straw or lucerne still going on.
- There is a low demand for all hay at present mainly due to good paddock feed available throughout the region.
- Reports indicate that the slow market is expected to experience little movement until the first frost.
- Cereal hay: +/-$0 ($300 to $340/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($430 to $480/t). Prices remain steady this week.
- Straw: +/-$0 ($140 to $180/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($260 to $310/t). Prices remain steady this week.
North Coast NSW
- Good pasture and silage availability continues to keep demand for bought in fodder low. Looking forward this trend is expected to continue for some time.
- Many growers are reporting that this season is the best the region has experienced in a number of years.
- Off the back of heavy rainfall (which eased this week) good volumes of lower grade pasture hay are available in the region. However only limited amounts are being traded at this stage. This may provide a good opportunity for buyers seeking lower priced fodder.
- Careful inspection of fodder is advised due to the high potential for locally produced hay to be weather damaged.
- Cereal hay: +/-$0 ($260 to $310/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 (130 to 150/t). Prices remain steady this week.
Central West NSW
- There were no changes in hay prices in Central West NSW this week due to limited trading throughout the region.
- Reports indicate that hay stocks will be tight this season and buyers who haven’t made enquiries about buying fodder yet should do so now.
- A turbulent season in terms of rainfall has raised concerns over the quality of hay in the region. Careful inspection of fodder is recommended, especially now as reports indicate most premium feed has been sold.
- Cereal hay: +/-$0 ($200 to $290/t). Prices remain steady this week. Most available hay available is now trading at the lower end.
- Lucerne hay: +/-$0 ($280 to $380/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.
Bega Valley
- Good pasture and silage availability has continued to keep the region’s hay market quiet this week with low demand for bought fodder.
- While continued rainfall has resulted in good pasture growth it has caused some issues with hay quality in the area and therefore we recommend using a trusted supplier and inspecting hay prior to purchase.
- Based on commentary from the market we expect that there will be a strong demand for protein hay in the coming year for the Bega region. Based on the impact rain has had on lucerne quality we expect a premium to be placed on high quality lucerne (non-rain damaged hay).
- Cereal hay: +/-$0 ($250 to $300/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($330 to $380/t). Prices remain steady this week.
- Straw: +/-$0 ($160 to $180/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($240 to $260/t). Prices remain steady this week.
Goulburn/Murray Valley
- There were no price changes recorded this week with only small volumes of hay being traded. The key explanations for the trade being slow are limited availability of fodder and buyers being mindful of their cash flow.
- Most interest is now coming from beef producers or farmers topping up sheds with new season straw.
- Reports indicate some growers are sitting on weather damaged hay (dry cow hay) and hoping for upwards of $150/t, however there is little being traded at this point in time.
- Cereal hay: +/-$0 ($190 to $240/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($300 to $340/t). Prices remain steady this week.
- Straw: +/-$0 ($100 to $130/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($150 to $170/t). Prices remain steady this week.
Gippsland
- Recent rainfall has seen the high demand for bought in fodder in southern Gippsland ease somewhat however the market is still strong with a lot of hay moving.
- Due to high prices, some dairy farmers continue to weigh up alternative feed options such almond hull and palm kernel as a result of running through silage stores more quickly than expected.
- There were no price changes recorded this week as both hay producers and buyers seem to have settled on a price that is working for both parties.
- In the east of the region good pasture availability from both recent rain and access to irrigation has resulted in less demand to date. This part of Gippsland has been widely regarded as having had a good season overall.
- Cereal hay: +/-$0 ($250 to $300/t). Prices remain steady this week however most trading is being done around the $260/t mark.
- Lucerne hay: +/-$0 ($340 to $410/t). Prices remain steady this week.
- Straw: +/-$0 ($120 to $150/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($160 to $230/t). Prices remain steady this week.
Southwest Victoria
- The region’s hay market remains slow this week as most buyers have now stored enough fodder to see themselves through to Autumn.
- There were some reports this week of buyers favouring local hay in an effort to limit freight costs however this trade is limited.
- There have been reports of vetch entering the market from north of the region this week asking prices of around to $350/t
- Cereal hay: +/-$0 ($230 to $260/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($280 to $360/t). Prices remain steady this week.
- Straw: +/-$0 ($110 to $120/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($180 to $220/t). Prices remain steady this week. There is little to no pasture hay available in the region due to the season drying off early.
Southeast South Australia
- There was little movement in the region’s hay market this week with limited demand due to most buyers having already stored enough fodder to last through to autumn.
- Reports indicate that there are still good volumes of hay to be purchased within the region. This hay has now mostly been stored and most growers will be asking $10/t more than in previous weeks.
- There have been some concerns over quality issues in hay baled around rainfall events at the start of the season. Although little of this is still being traded, careful inspection is therefor advised when purchasing fodder.
- Cereal hay: +/-$0 ($220 to $250/t). Prices remain steady this week but most hay is available at the higher end.
- Lucerne hay: +/-$0 ($280 to $340/t). Prices remain steady this week.
- Straw: +/-$0 ($110 to $130/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($160 to $240/t). Prices remain steady this week.
Central South Australia
- There were no changes in the region’s hay market this week and demand remains low with a priority placed on fire recovery for many producers and buyers in the region.
- A easing of price at the top end has been recorded. Reports indicate that this comes as most suppliers are interested in aiding the recovery of buyers.
- Cereal hay: -$5 ($200 to $250/t). Prices ease slightly this week.
- Lucerne hay: +/-$0 ($280 to $320/t). Prices remain steady this week with equal levels of interest in vetch and medic hay.
- Straw: +/-$0 ($110 to $120/t). Prices remain steady this week however given the impact of the fires there may be shortages of straw into 2016.
- Pasture hay: N/A. No reported trading.
Southwest Western Australia
- Hay continues to be hard to source in WA. As a result of the limited supply prices for cereal hay have risen by $15/t this week.
- While there appears to be reasonable amounts of pasture available in many regions reports indicate that when this runs out there may not be the fodder stocks to supply the region as low yields were recorded this season and most quality hay having been sold to export.
- Cereal hay: +$15 ($230 to $290/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($470 to $520/t). Prices remain steady this week.
- Straw: +/-$0 ($90 to $110/t). Prices remain steady this week; however this is based on limited trading.
- Pasture hay: +/-$0 ($160 to 200/t). Prices remain steady this week.
Northwest Tasmania
- Reports continue to indicate that demand in the region is exceeding supply as some buyers now look to the mainland to bolster local supplies. There have been some issues with regards to quarantine reported also which has delayed delivery times.
- Over the past fortnight what was first thought to be helpful rainfall turned into flooding for much of the region as storms caused damage to a number of crops.
- There is still talk of hobby farmers buying small quantities of hay and driving up the price for the general market.
- Buyers with a known need for hay in 2016 are advised to contact suppliers as soon as possible to ensure their needs can be met. It must be noted that many hay traders are prioritising long standing customers as supplies are so short.
- Cereal hay: +$15 ($250 to $300/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($335 to $370/t). Prices remain steady this week.
- Straw: +/-$0 ($170 to $200/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($250 to $280/t). Prices remain steady this week.