National Summary
- With a few exceptions in those very dry regions around the country, the hay market is predominantly dormant with very little demand, trade and interest and as a result, virtually no change to prices reported.
- In many regions the focus for growers is entirely on hay and silage production as the weather changes and challenges. With no time for anything else, hay trading has taken a backseat, at least for the time being. Already in some parts of the country cut hay is being impacted by rain however the longer-term impact of this on quality is yet to be fully appreciated.
- Buyers remain content to sit out of the market waiting to see what the new season’s production will deliver in terms of quantity, quality and based on these factors, price. In those southern regions of the country where carryover stocks remain, growers and traders continue to look to offload to make room for the new season’s production although with demand continuing from the dry regions of NSW, QLD and east Gippsland, prices are not reflecting any urgency to reduce.
- In QLD and NSW, rain has brought relief to several regions that have been very dry (as well as impacting on hay production) and that has slowed interest in the hay market as pastures kick back into growth. Without further rain however, the situation could quickly return to precarious. In other regions, notable the Bega Valley and Central NSW, a lack of any substantial rain continues to cause great concern.
- The amount of hay available this year is expected to be down on last year as some growers have opted not to grow or cut hay this year or will leave crops to go to grain instead.
- Exporters continue to be active in the hay market and are looking to secure new season, quality supply; this exporter interest will help set a price in some regions for the new season hay.
Northern Australia – Summary
- Prices remain unchanged.
- Some rain has now finally fallen in a number of northern regions which will bring relief for many farmers, especially those reliant on pasture growth.
- The rain does however bring different impacts on the hay market, potentially slowing demand as pastures grow and fill a feed need and in some situations, thwarting attempts to make quality hay and silage in a timely manner.
- The level of enquiry and buying from southern regions may have slowed for the moment but northern Australian farmers will still need to be cautious about their feed requirements moving forward as these regions will have limited local hay supply in many cases and freight costs from those areas with good supply, notable southern Australia, are a significant consideration.
- It is still expected that demand with exceed supply in the north this season.
- Lucerne and straw are particularly scarce. Most quality protein hay can fetch over $300/t and as high as $400/t if it can be found.
- We suggest caution when purchasing fodder at the moment, particularly protein hay, as there continues to be a great deal of variability in what’s being traded.
Southern Australia – Summary
- With hay and silage production ramping up in southern Australia, the focus is almost entirely on production at the moment with very little consideration for trading; this focus will most likely remain the norm for the next few weeks at least.
- No changes to hay prices this week.
- The region is once again expected to produce more than enough hay this season and will remain a significant source of supply to other regions in need throughout the country.
- Inclement weather is causing some concern in hay and silage production in the south but not so much as to cause quality concerns just yet.
- It is hoped that this season will see a lift in the quality of hay produced and an improved price compared to the price being quoted for carryover stocks.
- Exporters are reportedly actively looking for new season hay especially if quality is improved.
- The overflow of hay from last season continues to find some interest from northern regions that remain dry. Care should be exercised when buying as depending on how this hay has been stored, quality can be significantly compromised.
- Not all southern regions are doing well; Bega continues to be extremely dry as are significant parts of east Gippsland. If these regions continue to remain dry, they too will become increasingly reliant on supply from other better-positioned areas in the south, thus creating extra pressure on supply.
Western Australia – Summary
- There were no changes to hay prices this week.
- Hay trading is dormant at present with a focus on this year’s harvest taking priority.
- Crops continue to be cut for hay but recent rain, whilst welcome by many, is interrupting hay making and may impact on hay quality as good curing weather is becoming an issue; later crops are expected to fare better.
- The level of demand and optimism for the coming season varies a great deal from farmer to farmer but there is a feeling that quality hay may be difficult to find this year.
- There is an expectation that demand will continue to lift after the dry winter and could be exacerbated by reduced yields and/or lower production from less cops being cut for hay.
- There remains a reasonable good supply of carryover stocks of low/medium grade hay in the system but care should be exercised when buying this.
- The export industry continues to dominate the WA market and is a solid indicator on pricing. Exporters continue to seek out quality hay and as a result, will set the price in the market for that quality hay.
Regional Commentary
Atherton Tablelands
- There has been rain on the Tablelands (80 mm since just over a week ago) and this has seen the subdued levels of hay trading stall for the time being.
- There were no changes to hay prices in the region again this week and the level of enquiry has slowed with the rain.
- New season hay is beginning to be made in the region but this has been interrupted by rain.
- The region around Mareeba is growing more hay and is a current backup source of supply to the Tablelands.
- It is predicted that hay stocks may not go the distance this season and we’ll see a return to high demand; that said there are still sufficient supplies in sheds within the region at present so there is no urgency to buy.
- The outcome of this year’s harvest is still yet to be fully realised however growers have been anticipating a poorer year for hay production.
- Many farmers continue to have lower cattle number and for this reason have lower feed requirements.
- We continue to advocate for feed testing to ensure quality and using a trusted supplier when purchasing hay this year.
- Pasture hay: +/-$0 ($280 to $330/t). Prices remain steady this week.
- Note: Hay in the Atherton Tablelands is traditionally priced at $/bale so it is important to check bale weights for conversion to a $/t rate.
Darling Downs
- It has turned very wet on the Downs after a dry spell and the fodder market as a consequence is fairly subdued at present.
- With the rain it has turned green and the resulting pasture growth is expected to decrease interest in hay, especially from graziers who are increasingly inactive in the market after recent rains.
- There are still enquiries for hay being reported in the region as supplies continue to dwindle but no major change in prices; reports indicated that there are still trucks of hay coming into the region from down south.
- There are no excess supplies of fodder in the region.
- It is expected that there will be limited paddocks going to hay this season after the dry winter.
- It was reported that the next 12 months on the Downs will remain solid/stable for hay prices although the next few weeks will help firm up that outlook.
- Pricing in the region is largely set at the Victorian price plus freight at the moment.
- Feedlots are reportedly still actively buying but this is not considered out of the ordinary.
- There is a view that straw will remain very difficult to source this year and this may create an opportunity to clear some of the carry over poor quality hay from the south to be used a straw, especially in the feedlot sector.
- Cotton and almond hulls are being reportedly being sought and used as a substitute feed for straw.
- Planting of some summer crops including millet may provide alternative feed sources in the region to hay in coming months but it is not expected to cover any shortfall from a reduced hay production season in the region.
- Quality for all fodder types is highly variable and should be tested. We also advocate for careful inspection of fodder and using a trusted supplier when possible.
- Cereal hay: +/-$0 ($270 to $350/t). Prices remain steady this week.
- Lucerne hay +/-$0 ($350 to $450/t). Prices remain steady this week although this is based on limited demand.
- Straw: +/-$0 ($160 to $220/t). Prices eased this week at the lower end of the scale.
- Pasture hay: Not in demand in this region.
North Coast NSW
- No change in hay prices this week and demand has certainly waned since the rains have come (up to 125mm over the last two weeks).
- There is an expectation prices may come back in coming weeks now as a result of the rain and some new season production becoming available.
- This current rain has slowed hay production considerably.
- The region experienced poor winter rainfall and a lack of subsoil moisture which has seen crops and pasture struggle up till this recent rain.
- There are no stocks or surplus hay remaining in the region.
- Previous reports suggesting supplies were coming out of the NSW Tablelands (Tamworth region) and Victoria have now slowed.
- There is virtually no lucerne, straw or pasture hay available within the region.
- There is not a lot of cereal hay to be made in the region this year which depending on how the season develops, may result in supply issues later.
- Some vetch of good quality has been made and sold for $300-$350/t.
- Cereal hay: +/-$0 ($300 to $350/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($380 to $450/t). Prices remain steady this week.
- Straw: +/-$0 ($200 to $240/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($250 to $280/t). Prices remain steady this week.
Central West NSW
- There were some minor changes to hay prices this week.
- Recent rain (24mm) has done little to dampen demand which has remained relatively unchanged.
- The recent rain has reportedly damaged some lucerne and cereal crops that have been cut but the extent of this as a quality issue is not fully known yet.
- Reasonable demand exists within the region for good quality oaten hay and lucerne which is being sought by sheep and cattle finishers and backgrounders.
- In general, the region is running short on supply of hay and with not much residual stock left in sheds, this situation will not improve with the anticipated reduced harvest this year.
- Uncharacteristically, the region has limited quality hay available and many growers haven’t had the rain again to ensure even a reasonable season; compared to last year, this year will be a very low production year for hay – opposite to last year.
- It is expected that farmers in the region will look to Victoria and South Australia for hay especially with good supply still available in these regions.
- Hay traders have been having difficulty finding good protein hay although there is a flush of new season lucerne becoming available now and demand is strong, especially for smaller square bales.
- Straw is reportedly in short supply within the region and this situation is not expected to change.
- Cereal hay: +/-$0 ($140 to $200/t). Prices firmed this week although last season hay is selling below the top of the price range at around $160-$180/t.
- Lucerne hay: +/-$0 ($250 to $400/t) Prices firmed this week especially for smaller bales of lucerne.
- Straw: +/-$0 ($110 to $130/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($150 to 170/t). Prices remain steady this week.
Bega Valley
- There were no changes to hay prices reported in the Bega region this week although current stated prices remain indicative only as supply is tight within the Bega and surrounding regions and demand is quite buoyant.
- There continues to be a great deal of concern over the lack of rainfall which has occurred in the region in recent months and its impact on pasture and this season’s crops; it remains dry in the region although pasture growth would occur quickly with rain.
- Comments suggest growers are expecting a poor season and for supply to be tight this year.
- The small amounts of hay cut so far this season has not been of good quality as crops have been stressed, short and have lost the bottom leaf.
- There are reports that some growers will let their hay crops go to grain and will not even bother cutting them for hay this year.
- Good quality cereal and protein hay is most in demand especially by the dairy sector who want to guarantee their milk production.
- Good volumes of feed are coming from southern regions and this is expected to continue and from further afield depending on availability and price; reports have suggested decent quality hay has been landing in Bega from northern Victoria for around $280/t delivered.
- The good volumes of weather damaged, low quality hay available in and around the region is reportedly dwindling.
- Some excess export oaten hay has also been available in the region of reasonable quality.
- A lot of canola hay has apparently been made but there are concerns over the quality of this due to the impact of frosts during the growing cycle.
- Cereal hay: +/-$0 ($190 to $230/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($320 to $350/t). Prices remain steady this week.
- Straw: +/-$0 ($120 to $150/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($180 to $210/t). Prices remain steady this week.
Goulburn/Murray Valley
- There remains a lull in hay trading within the region now as the wait continues for new season hay to become more readily available and as a result, prices have not changed.
- It is dry in the region, but this is helping with the hay harvest with reports that yields are down, but quality is improved.
- Reports continue that there is last season carryover hay continuing to go north into NSW and QLD with pricing around $100/t plus freight.
- It is still too early to predict the outcome of the new season hay production, but early indications are that with improved quality prices are expected to be in the range of $180/t for new season hay.
- Exporters remain very active in the market for new season quality hay and are paying $200-$220/t if the quality is there.
- A lot of silage has been cut already.
- Very little lucerne is available in the region.
- Some vetch hay has recently been made and is of decent quality.
- The dairy industry remains very subdued in terms of their interest in buying hay.
- Cereal hay: +/-$0 ($80 to $120/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($230 to $260/t). Prices remain steady.
- Straw: +/-$0 ($90 to $100/t). Prices remain steady this week.
- Pasture hay: No supply reportedly available.
Gippsland
- Limited trading of hay was reported again this week with demand and enquiry low in the region but with the variance in seasonal conditions across Gippsland, this does vary depending on location.
- Some new season hay has been reportedly entering the east of the region from northern Victoria at around the $200/t price; cereal hay prices are variable according to whether its last season or new season hay.
- Farmers in the east, including the Macalister Irrigation District are reporting a continuation of dry conditions and will require more feed as the year progresses and the weather warms up.
- Fodder production in and around Yarram and surrounding areas could be virtually non-existent this year without some reasonable rain very soon.
- Contrasting this is around Warragul and into South Gippsland which is in good shape and experiencing great pasture growth.
- Silage production is in full swing around Warragul with reports of very good production results and second cuts potentially ready again by mid-November.
- There continues to be reasonable trade in small bales to hobby farmers within the region.
- Farmers are considering their feed requirements for the coming season including the possibility of a long dry summer; this may create an impetus to buy over coming weeks.
- The most in demand fodder type in Gippsland is premium quality cereal hay with many dairy farmers rejecting the cheaper feed and focusing on animal health and milk production.
- Overall interest from the dairy sector in purchasing fodder remains very subdued.
- Some vetch is now entering the market in the region at $300/t and is reportedly of very good quality.
- We recommend obtaining a mould and yeast test, a feed test and using a trusted a supplier when purchasing fodder this year to ensure value for money.
- Cereal hay: +/-$0 ($140 to $210/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($290 to $320/t). Prices remain steady this week.
- Straw: +/-$0 ($130 to $160/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($120 to $190/t). Prices remain steady this week.
Southwest Victoria
- Hay trading was largely dormant throughout the region this week with no changes in pricing reported; this situation is expected to remain for at least another 2-3 weeks.
- Some cereal hay is reportedly selling below the bottom of the reported range on farm, but this would be lesser quality and caution should be exercised when buying this.
- Pasture growth is increasing further reducing trade within the region with spring and warmer weather arriving (albeit intermittently).
- It’s predicted that the region will enjoy another strong year for production although less hay is expected to be made this year as less acreage was sown due to the large carryover of hay from last year.
- Hay growers are looking for a return to quality and consequently a return to a premium price for hay this year.
- Protein hay is still difficult to come by although there are reports of very good quality vetch hay available at $265-$280/t.
- Silage production is well underway in the region.
- Obtaining a feed test when buying hay is highly recommended and that remains so for last season and new season hay.
- Cereal hay: +/-$0 ($110 to $190/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($260 to $290/t). Prices remain steady this week.
- Straw: +/-$0 ($110 to $130/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($110 to $160/t). Prices remain steady this week.
Southeast South Australia
- Very limited hay trading occurring in the region this week with plenty of supply still available locally and with the concentration on making not selling prevailing.
- It has started to dry off in the region which is helping hay production which is just starting to be cut but there will be a need for further rain in coming weeks.
- Plenty of silage has been made in the region.
- The general feeling is that region is in decent shape for a positive hay season.
- Growers are hoping for a boost in the quality of feed made this year and will likely produce good volumes although reports suggest less hay will be made this year in the region due to the carryover.
- NSW and QLD may rely on South Australia for supply more this season if tough seasonal conditions continue there.
- Reports suggest some cereal crops will go to grain this year and will not be cut for hay.
- The southeast region continues to be one of the most reliable in terms of cereal hay quality in the country.
- To ensure quality however we continue to advocate for the careful inspection of fodder before purchase and obtaining a feed test.
- Cereal hay: +/-$0 ($90 to $140/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($240 to $300/t). Prices remain steady this week.
- Straw: +/-$0 ($90 to $120/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($100 to 150/t) Prices eased at the lower end of the range this week.
Central South Australia
- Trading was very slow again this week in the region but there is still plenty of supply around, particularly of last year’s carryover hay.
- There has been no reported change in hay prices this week although there is a general feeling that prices may be easing in response to the new seasons production becoming available and the need to move any remaining carryover stocks.
- The focus in Central SA right now is on making hay and less on selling and with rain forecast, there is plenty of hay making activity occurring.
- Some growers are still looking to offload as much of last season’s hay as possible to make room in sheds in readiness for the new harvest and it seems parts of QLD is providing some opportunity to move this hay.
- The region has made a good comeback from a late winter but acreage for hay is back this year because of last year’s excellent production; a few growers have decided not to make hay this year.
- The current outlook for this year’s crops has improved in recent weeks however some recently produced hay has had good colour but on testing, the quality has been down.
- Drier areas within the region are reportedly producing better quality hay.
- Good volumes of export hay are being made and the quality is reportedly very good also.
- Obtaining a feed test when buying hay is highly recommended.
- There is very little lucerne in the region and limited demand for it also.
- Cereal hay: +/-$0 ($80 to 130/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($250 to 300/t). Prices remain steady this week.
- Straw: +/-$0 ($80 to $110/t). Prices remain steady this week.
Southwest Western Australia
- There were no changes to hay prices in the west this week as trading remains in a lull as new season hay is under production.
- Rain events in the west have been causing issues with the current hay harvest and across the state there is a mixed bag of results being experienced with the season turning into a soft finish.
- Some enquiry still being fielded from sheep and cattle producers looking to summer proof their feed supplies but interest from dairy farmers is very low.
- Cutting of hay crops is well underway and in some areas finished but baling has been stalled because of wet weather; getting hay cured is an issue now and it is reportedly difficult to produce quality hay at this time.
- There is view that hay quality will be lower this year with thicker stalks being reported.
- Later crops are expected to be of a better quality.
- Exporters are reported to have plenty of supply on hand but are also looking at new season supply at around the $200/t if the quality is there, which is a 50/50 bet at the moment.
- Domestically there is an expectation of higher demand after a dry winter but that may not eventuate in the domestic market till after Christmas.
- There remain reasonable good supplies of carryover stocks of low/medium grade hay in the system.
- We recommend obtaining a feed test as well as a mould and yeast test when purchasing fodder this year.
- Cereal hay: +/-$0 ($140 to $180/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($450 to $490). Prices remain steady this week.
- Straw: +/-$0 ($90 to 110/t) Prices remain steady this week.
- Pasture hay: +/-$0 ($150 to $200/t). Prices remain steady this week.
Northwest Tasmania
- Hay trading remains subdued again this week in the region with no price changes.
- Seasonal conditions are extremely varied now across the state with the north enjoying a very good season, the midlands (particularly further south) very dry, the east coast dry and some rain in the south.
- Protein hay is in demand but of very limited supply with reports of virtually no lucerne available. Some early cutting of lucerne has been reported and the quality looks excellent.
- There is also limited supply of good pasture hay and straw available.
- Reports indicate that good supplies should be available from this production season, especially from the north of the state; the scene is different in the south with not a lot of hay being cut but still good levels of supply from last season although this is expected to dwindle if the midlands remain dry.
- There is an expectation that prices will begin to lift in January/February as feed sources become more scare and farmers look to secure supply.
- Cereal hay: +/-$0 ($160 to 220/t) Prices remain steady this week.
- Lucerne hay: +/-$0 ($220 to 300/t) Prices remain steady this week.
- Straw: +/-$0 ($100 to 140/t) Prices remain steady this week.
- Pasture hay: +/-$0 ($140 to 190/t) Prices remain steady this week.