National Summary
- Again this week we saw notably different levels of activity in the hay market between Northern and Southern regions. The most notable changes to price came from Southern regions which continue to experience strong demand for purchased fodder. On the contrary, a sluggish hay market in the North showed few signs of activity with reports indicating little interest.
- While much of the North continues to enjoy good silage and pasture availability, reports this week show that the consistent rainfall received throughout summer has slowed and the North has started to dry out. Heading into winter it is expected that the arrival of cool weather will see this market get moving again.
- Many buyers in the South are now having to look further afield to meet their fodder needs as local stocks begin to run low. As in most instances long-term contracts are being favoured by traders and sellers, we recommend getting in early to secure enough hay for the coming winter.
Northern Australia
- Despite the noticeable drying off of pasture throughout inland regions, the lull and stagnant hay market in the Northern regions continued this week.
- Along the coast appears to be no different, while also experiencing less rainfall which has fallen well over summer, good silage availability has delayed any sense of immediacy by providing a positive outlook for farmers.
- Our reports indicate that farmers expect the market to pick up once the weather begins to cool off and buyers re enter the market
Southern Australia
- There was a noticeable surge in demand again this week throughout the Southern end of the nation causing increases to cereal hay, lucerne and straw prices.
- This interest is being driven by the autumn break not having arrived yet resulting in silage and pasture stocks running low. There is also general agreement that hay stocks are tight across much of the South which is contributing heavily to the increase in demand this week.
Western Australia
- A run of cool weather has further upped the need for hay this week in the West, however after last fortnights price rise the market remained steady this week.
- There are continued concerns over supply for the coming months with interest for hay coming from a number of areas that typically do not purchase fodder. This is driven mostly by poor crops and poor summer rainfall.
- Reports indicate that further increases to hay prices could occur, which has lead a number of buyers to investigate other feed alternatives alongside hay.
Regional Commentary
Atherton Tablelands
- No price changes were recorded this week with only small volumes of hay moving throughout the region, mainly to farmers weaning cattle.
- Good summer rainfall has allowed for good volumes of rhodes grass hay to be made in the region
- Quality is reportedly variable due to scattered rainfall during baling, careful inspection is recommended.
- Reports indicate that despite generally good availability of pasture at the moment there is some concern over water availability for irrigation.
- Most predict that the market won’t show any drastic changes in the foreseeable future as reports indicate most farmers have a good supply of hay in sheds already.
- Pasture hay: +/-$0 ($300 to $400/t). Prices remained steady this week with the large price spread reflecting the increased cost of producing irrigated hay.
Darling Downs
- Despite the region now drying off considerably, hay trading remains limited throughout the Downs. There was however reports of some hay trading to farmers weaning cattle.
- While there was a small increase in demand noted this week prices have remained steady after last week’s price rise.
- There have been some comments that there may be a tight supply for hay this winter. As long-term contracts are being favoured by sellers, we recommend contacting suppliers early if you have a known need for fodder over the coming months.
- Good quality millet hay is available and trading slowly, and lucerne and cereal hay are reportedly in limited supply.
- Cereal hay: +/-$0 ($300 to $340/t). Prices for cereal hay remain steady this week however there are limited amounts available on the market.
- Lucerne hay: +/-$0 ($430 to $500/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
- There are still limited reports of hay moving in the region good pasture and silage availability continue to delay the need for purchased fodder. This is driven by the good summer rains and it is expected that the slow market will continue through to winter.
- There continue to be reports of farmers attempting to make hay or silage however rains have been interrupting bailing.
- The rainfall has caused some issues with quality however, careful inspection is therefor recommended.
- Growers continue to focus on baling summer crops such as sorghum and millet.
- 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 180/t). Prices remain steady this week.
Central West NSW
- There was limited movement in the region’s hay market this week with a number of traders reporting difficulty when finding interested buyers for hay.
- We have also heard that there could be a tight supply in the region through winter; however limited cash flow positions of many buyers is preventing some farmers from preparing.
- There continues to be commentary that suggests a great amount of hay left in the region is weather damaged. Careful inspection is therefor recommended.
- Cereal hay: +/-$0 ($200 to $260/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($270 to $350/t). Prices remain steady this week; however comments suggest that due to a steady increase in demand a limited supply, lucerne prices could increase in the coming weeks.
- 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
- The continued run of good silage making conditions have held off any need for substantial orders for hay in the region. This has been helped along by unseasonably warm weather which is now expected to continue for the coming weeks.
- There have been some quality issues with hay made in the region as a result of the good summer rain and therefor, careful inspection is recommended.
- Reports indicate that with limited hay moving into the region at this point, a good indicator for market change may be the prices in the Central West region.
- Cereal hay: +/-$0 ($230 to $280/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
- With comments suggesting that the region’s hay now almost entirely accounted for, this week we saw most hay trading at the top end of the pricing scale.
- Reports indicate that a number of farmers in the region may have to look to transport hay greater distances as supply becomes tight over winter.
- Good volumes of hay in this region continue to be transported around Victoria, however this is mostly for long-term contracts.
- Cereal hay: +$10 ($220 to $260/t). Prices rose this week.
- Lucerne hay: +/-$0 ($300 to $340/t). Prices remain steady this week.
- Straw: +$10 ($120 to $150/t). Prices increased this week off the back of increased demand wile stocks run low.
- Pasture hay: +/-$0 ($150 to $170/t). Prices remain steady this week.
Gippsland
- In Gippsland reports indicate that motivation to buy fodder has dropped this week after the revised outlook on milk prices.
- Demand for feed still remains high though out Southern Gippsland with no sign of significant rain on the horizon.
- There have been comments that a number of farmers in Southern Gippsland have secured enough feed through good management and feed budgeting.
- Feed alternatives such as potatoes and almond hulls are also being purchased quickly and in large volumes.
- Looking to East Gippsland, including the Macalister Irrigation District, there is less urgency around purchased fodder with good pasture still available.
- With such high demand now throughout the state, there is limited hay available throughout the region.
- Cereal hay: +/-$0 ($250 to $320/t). Prices remained steady this week.
- Lucerne hay: +/-$0 ($350 to $410/t). Prices remain steady this week.
- Straw: +/-$0 ($130 to $200/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($160 to $240/t). Prices remain steady this week.
Southwest Victoria
- Further increase in hay prices have been recorded for the Southwest this week off the back of continued strong demand.
- With most reports indicating that less hay is available throughout the state this year, many buyers are planning ahead and securing enough fodder before supply runs low.
- There continues to be a high demand for protein hay as silage stocks have mostly run out. Vetch is trading at around $360/t but stocks are low.
- Cereal hay: +$30 ($280 to $310/t). The price for cereal hay has risen this week.
- Lucerne hay: +/-$0 ($340 to $365/t). Prices remain steady this week.
- Straw: +$18 ($140 to $165/t). Prices for straw rose this week.
- Pasture hay: +/-$0 ($180 to $220/t). Prices remain steady this week however there is little to no pasture hay available in the region at present.
Southeast South Australia
- Steady demand continued this week for both hay moving in and out of the region.
- A price rise for protein hay was experienced this week as the supply of lucerne across SA and Victoria begins to tighten up after increased demand.
- Demand in the region has slowed with reports indicating that a number of farmers have stored enough hay for the winter ahead and are now sitting out of the market. Good beef prices are also resulting in many farmers selling cattle rather than buying hay.
- Cereal hay: +/-$0 ($210 to $250/t). Prices remain steady this week.
- Lucerne hay: +$25 ($300 to $340/t). Prices increased this week as stocks run low.
- 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 major changes to hay prices in the region this week with limited reports of hay moving.
- The export market on the other hand continues to see hay trucks transporting hay across the region, however the majority of this hay was contracted months ago and is not having a major impact on domestic trading.
- Cereal hay: +/-$0 ($200 to $250/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($280 to $320/t). Prices remain steady this week.
- 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 stocks continue to be put under pressure in the West, with the already strong demand being added to by the onset of cool conditions this week. It should however be noted that many areas in the West have received a good break and are positive about the season ahead.
- There were no obvious changes in price however, after last fortnight’s jump in cereal and straw.
- Reports indicate some growers are asking for a further $10/t but the rest of the supply chain has so far resited this.
- Fodder continues to be donated and delivered to fire affected areas South of Perth.
- Cereal hay: +/-$0 ($250 to $310/t). Prices rose this week.
- Lucerne hay: +/-$0 ($470 to $520/t). Prices remain steady this week.
- Straw: +$0 ($90 to $130/t). Prices remained steady this week.
- Pasture hay: +/-$0 ($160 to 200/t). Prices remain steady this week.
Northwest Tasmania
- High demand for hay continues throughout much of the state, with limited supply causing issues for farmers and further increases to prices this week.
- There are large volumes of hay being moved throughout the state, however reports indicate that only limited amounts are still available for purchase. If you have a known need for fodder in 2016 contact your trusted hay supplier as soon as possible as long-term contracts are being favoured.
- There continues to be reports of hay being offered at prices that are generally considered unviable to anyone with a commercial focus. This is typically for small parcels of hay for lifestyle usage however it is having a distorting impact on the market.
- Silage is available and is trading at around $450-500/t.
- Cereal hay: +$20 ($280 to $310/t). Prices rose again 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.