National Summary
- A transition towards winter conditions was evident around the nation this week, with substantial rainfall and cool conditions reaching numerous Southern regions, while the opposite continued to dry out the North.
- Currently, most purchased fodder still continues to be traded in the South, but recent milk price cuts have had a noticeable impact on the slowing of trading from recent weeks. This week, comments suggest that the cuts resulted in less new buyers entering the market. Perhaps adding to this, wet weather and an end to dry conditions for much of Victoria and Tasmania have created a more positive outlook for some and also slowed buying.
- Reports indicate that Northern regions are still a few weeks away from seeing any major changes to the market and to prices, however this week there was a noticeable jump in enquiry from those preparing themselves for the season ahead.
Northern Australia
- There continues to be good pasture and silage availability around coastal regions to the North, however a fortnight of hot and dry weather has sparked interest in purchased fodder.
- Reports indicate an increase in the number of trucks moving in the region and traders have recorded a steady rise in activity in the market.
- As winter draws closer, this is expected to increase further and may impact pricing. There have been some concerns over both the quality and quantity of hay through winter as demand grows.
Southern Australia
- A general slowing of the market can be observed this week with both substantial, positive rainfall reaching a number of dry regions and milk price cuts limiting cash flow to dairy farmers the main culprits.
- The market remains generally strong however, with good volumes of hay continuing to move throughout the region. Reports indicate the majority of available fodder is now in South Australia or New South Wales, and supply in Victoria is mostly spoken for.
Western Australia
- The West has experienced a terrific start to the season with crops reportedly showing the best early growth in over a decade. This comes as a welcome relief from the previous poor season and is providing a more positive outlook for farmers dealing with limited fodder supplies.
- There is still a strong demand for hay in a number of regions in WA and hay is being widely transported to support the domestic market.
- There were no changes to prices this week however with buyers resisting further increases. Reports indicate that additional increases will lead to more buyers investigating feed alternatives alongside hay.
Regional Commentary
Atherton Tablelands
- There continues to be a low demand for purchased fodder in the region despite over a week of dry conditions and cooling temperatures.
- There is still good paddock feed in most parts of the region however some farmers are concerned over the availability of water for irrigation.
- Reports indicate that demand for fodder driven by the live export cattle sector has eased.
- Due to the limited volumes of hay being traded in the region, there were no obvious price movements this week.
- Most of the trading in the region continues to be from farmers buying small volumes for weaning cattle.
- There are reportedly good volumes of Rhodes grass available in the region after good summer rainfall.
- 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
- There has been a continued increase in demand for purchased fodder this week as the market gets moving after a prolonged break in trading.
- Prices remain steady across the board with supply so far meeting demand.
- Currently, most demand for hay continues to come from farmers weaning cattle.
- Some farmers are predicting 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 but trading slowly.
- Cereal hay: +/-$0 ($300 to $340/t). Prices for cereal hay remain steady this week however there are limited amounts high end quality hay 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
- The region continues to enjoy a favourable season with plentiful home grown fodder delaying any need for large volumes of purchased feed.
- Reports do continue to indicate an increase in enquiry for purchased fodder as pasture dries out. With only limited amounts of hay moving at this stage though, prices have shown no obvious changes this week.
- The plentiful summer rainfall experienced throughout the region has caused some issues with quality, careful inspection is therefor recommended.
- 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 continues to be a good demand for purchased fodder in the region as the market gets going again.
- Interest from Victoria is a key driver in demand as well as hay beginning to be transported to the coast.
- The increase in interest is yet to have an impact of pricing.
- Through harvest we heard reports that there was weather damage to some hay. While this does not account for all the hay available today, careful inspection is 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
- A reasonably slow market continues in the Bega region this week, despite a fortnight of hot weather beginning to dry off pasture.
- These dry conditions have prompted a lift in enquiry but not yet had an impact on pricing.
- As a result of good summer rainfall, there have been some issues with hay quality so careful inspection is recommended when looking to buy.
- 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
- The market has slowed this week with reports indicating there are limited new buyers entering the market and all hay moving was accounted for weeks ago.
- Recent milk price cuts are being blamed for the downturn in hay buying.
- Beef producers are keeping the market going somewhat and continue to enjoy good beef prices.
- There continues to be commentary that suggests number of farmers in the region will have to look to transport hay greater distances than usual as supply becomes tight over winter.
- Cereal hay: +/-$0 ($220 to $260/t). Prices remain steady this week however most cereal hay is being sold for $260/t.
- Lucerne hay: +/-$0 ($300 to $340/t). Prices remain steady this week.
- Straw: +/-$0 ($120 to $150/t). Prices remain steady this week however there is limited availability.
- Pasture hay: +/-$0 ($150 to $170/t). Prices remain steady this week.
Gippsland
- While demand for purchased fodder is still high in the region’s South, buying is reportedly down as a number of dairy farmers are restricted by poor cash flow after milk price cuts.
- Recent rainfall has given some a positive outlook though by beginning to refresh pasture, and more substantial rainfall is predicted this week.
- Many farmers who typically would be looking to buy hay and silage are either looking to alternatives such as almond hulls or are instead offloading cattle.
- Much of the rest of Gippsland has experienced good rainfall recently but buying is also slow due to good availability of home grown fodder.
- 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
- Demand has remained down for purchased fodder in the region and the market has continued to experience somewhat of a lull compared to this time last month.
- Reports indicate that the lull is attributed to both positive and negative circumstances with good rainfall starting to result in pasture growth and milk price cuts limiting cash flow for dairy farmers.
- Despite tightening up of cash flow from many dairy farmers there has been resistance from growers to ease prices.
- Also keeping the price up is transport costs. With local stocks low most buyers seeking larger volumes of hay are now looking interstate.
- Protein hay continues to be traded steadily with equal interest in lucerne and vetch.
- Cereal hay: +/-$0 ($280 to $310/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($340 to $365/t). Prices remain steady this week.
- Straw: +/-$0 ($140 to $165/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($180 to $220/t), however there is little to no pasture hay available in the region at present.
Southeast South Australia
- As a result of a steady increase in demand from Victorian buyers, hay prices have shown increases for both lucerne and cereal hay.
- Within the region, demand is mostly slow as a number of farmers have stored enough hay for the winter ahead and are now sitting out of the market.
- Continued strong beef prices are also resulting in many farmers selling cattle rather than buying hay.
- Cereal hay: +$5 ($210 to $260/t). Prices experienced a slight rise this week.
- Lucerne hay: +$10 ($310 to $350/t). Prices experienced a rise 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 however there is little to no pasture hay trading.
Central South Australia
- There continues to be limited hay moving in the domestic market again this week resulting in no change to prices.
- Buyers from Victoria are now looking to the region to bolster hay stocks for winter. Because of the cost to transport this fodder however, price increases have so far been resisted.
- Reports indicate that the only consistent buyers within the region are from the feedlot sector.
- 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.
- 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
- Good volumes of fodder continue to be transported around the region and despite no changes to prices this week; tight supply could result in increases towards winter.
- There have been a number of comments that suggest the start to this season has been the best in over a decade and is providing a positive outlook for farmers despite current hay shortages.
- Reports indicate some growers are currently asking for a further $10/t but the rest of the supply chain has mostly resited this so far.
- Cereal hay: +/-$0 ($250 to $310/t). Prices remained steady 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
- Demand remains strong in the region this week after experiencing a lull in the last fortnight.
- The previous week’s backing off from farmers buying can be attributed to a combination of a more positive outlook following a week of long-awaited heavy rainfall, or a lack of cash flow following milk price cuts.
- There continues to be large volumes of hay being moved right across the state, however reports indicate that only limited amounts are still available for purchase.
- Again we are seeing hay and silage advertised throughout the region 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: +$0 ($280 to $310/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.