National Summary
- The domestic fodder market is in an exciting state of flux, as we enter the first week of autumn in Australia. Demand is concentrated around central New South Wales, eastern Victoria and Queensland. Good quality supply is coming out Goulbourn Valley and Murray Valley regions. Despite increasing demand, only slight positive price firms have been recorded.
- Some patchy rain and hot summer heat is drying up the land in areas around the country, however new season hay and weatherproofed carryover from 2016 is dampening demand. Goulbourn and Murray Valley in northern Victoria and Bega in southern New South Wales appear to be accommodating demand from Queensland and New South Wales. Reportedly, the western district of Victoria and south east South Australia should be expecting demand from the west and north of central South Australia. Supply of medics and vetch are reportedly limited in central South Australia and in demand as sheep commodity prices are healthy.
- The weather report is quite varied and unpredictable across Australia. Generally, the south and east coast areas right across Australia, except Tasmania, have experience high temperatures in the last week. There have been storms in Queensland, impacting on haymaking activities.
- There appears to be little straw available this year as grain yields are down by 40%. It is expected that demand will exceed supply.
- Demand for fodder is only expected to increase throughout March.
Northern Australia – Summary
- Demand for product in northern Queensland is low, as persistent rainfall coupled with favourable growing temperatures has encouraged on farm grazing. Conversely demand is firming in the south of Queensland as supply is very limited.
- Australia’s cottonseed industry is expected to produce the largest crop in the world, which may impact on domestic fodder consumption. Cottonseed is a highly nutritious feed source, with high protein, energy and roughage content. It will be interesting to see the impact of low cottonseed prices on the hay market.
- Securing long term, reliable supplies of quality hay may well be an issue for the north as the year progresses with demand expected to be greater than supply.
- 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
- This region should remain a strong source of supply to other regions in need throughout the country; this is being complemented by carryover from 2016 and by a good silage year.
- Demand is firming in Central South Australia, Tasmania and Gippsland and should continue for some time.
- Hay trading is mostly dormant in the south with pockets of enquiry as stated above, largely due to late spring and summer rainfall.
- There is some silage production and feeding in the Western District of Victoria, Tasmania, Bega and in West Gippsland.
- Due to high levels of persistent rainfall in spring, we recommend obtaining a mould and yeast test, a feed test, and using a trusted a supplier.
Western Australia – Summary
- There remains reasonable good supply of carryover stocks of low/medium grade hay in the system but care should be exercised when buying this.
- Demand for carryover hay from the northern WA sheep and beef industries is strong and should continue.
- 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 quality hay.
Regional Commentary
Atherton Tablelands
- The Tablelands have been experiencing lots of rainy weather, which has put a stop to haymaking. The weather, although producing quantity, is impacting on quality of hay.
- There are some enquiries reported this week, but demand is low. Some large squares have been moving to Longreach area, in central Queensland. It is expected that demand will remain steady for near future and may firm, as hay sheds appear to be emptying.
- No price changes noted this week.
- Pasture hay: +/-$0 ($200 to $350/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.
Darling Downs
- Demand has softened as a consequence of the wet weather, particularly from feedlot and dairy industries.
- Reportedly, Australia has grown the biggest crop of cottonseed in the world this year reducing local prices. Cottonseed is a highly valued animal feed, particularly in feedlots, for it’s high energy, protein and roughage content. This may impact on local demand for hay and straw. Cottonseed prices are estimated at $270 per tonne (+GST) delivered which impacts on vetch and lucerne hay.
- New season fodder is being sought from the Victoria and South Australia, as there is a limited local supply.
- Demand will be much greater than supply this year.
- No price changes noted this week.
- Cereal hay: +/-$0 ($300 to $340/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($380 to $450/t). Prices remain steady this week.
- Straw: +/-$0 ($200 to $250/t). Prices remain steady this week.
North Coast NSW
- The North Coast had some stormy weather with some areas reportedly receiving 30mm-120mm of rain. Hot and humid weather has followed the storms, but with more stormy weather forecasted for the weekend, there will be little chance of hay being baled.
- Rhodes grass, sorghum and millet silage is currently being baled, which is business as usual.
- Demand is still quiet with few hobby farmers weaning cattle.
- No reported price-change again this week.
- Cereal hay: +/-$0 ($280 to $300/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($350 to $400/t). Prices remain steady this week.
- Straw: +/-$0 ($180 to $240/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($200 to $250/t). Prices remain steady this week.
Central West NSW
- Central West New South Wales has had temperatures in the high thirties this week, with some rain in areas ranging between 5 to 30mm. There is not much variation in weather forecasted, however farmers are hoping for a break in the next few weeks to sow oats and dual-purpose wheat for grazing and hay/grain production.
- There is not much pasture around and not much enquiry for it either as buyers are looking for the best feed value for money and prefer lucerne.
- Presently, there is big demand for large bales of medium quality hay. Most of demand is coming from the northeast and northwest of NSW.
- Demand is currently steady however it’s reportedly up 50% of what it was last year, due to drought.
- No price changes reported this week.
- Cereal hay: +/-$0 ($200 to $220/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($350 to $400/t). Prices remain steady this week.
- Straw: +/-$0 ($80 to $100/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($150 to 200/t). Prices remain steady this week.
Bega Valley
- Bega has had some rainfall this week, with areas reportedly receiving 30mm. The rain has come at a good time as the land is beginning to dry out.
- Farmers are taking advantage of recent rainfall and are beginning to sow rye grass whilst there’s some moisture in the ground.
- Local demand for hay is reportedly low and steady. Sources are expecting demand to pick up if rainfall doesn’t continue.
- There is some external demand for straw coming from Orange and surrounds.
- Cereal prices have firmed this week.
- Cereal hay: +$15 ($220 to $280/t). Prices have firmed 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 ($140 to $210/t). Prices remain steady this week.
Goulburn/Murray Valley
- Weather is pretty typical in the Goulbourn and Murray Valley’s with high temperatures and dry heat. Rains were expected from the cyclones in the north of Australia in the last fortnight, but only 1-2mm came through. Weather is forecasted to stay dry and hot for the coming week, with no rainfall forecasted.
- Farmers are waiting for an autumn break. There are reports that some dairy farmers have started sowing ryegrass.
- There is huge demand coming from all along the east coast for Goulburn and Murray Valley hay. Locals are buying low-grade carryover from 2016, whilst new season quality hay is being sent as far north as central Queensland and as south as Warragul in Gippsland, Victoria.
- There are no price changes noted this week, however as supplies are diminishing, a firm in price is to be expected in future.
- Cereal hay: +/-$0 ($80 to $160/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($230 to $300/t). Prices remain steady this week.
- Straw: +/-$0 ($90 to $100/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($150 to180/t). Prices remain steady this week.
Gippsland
- West Gippsland has really started to dry out and demand for feed has picked up.
- There is more demand for feed in the east, as they continue receiving daily truckloads of hay from the West and northern Victoria. Reports have informed that round bale grass hay is moving to beef and dairy farms in the direction of Maffra, Sale and Bairnsdale.
- There are also reports of some silage, lucerne and vetch moving from the West for autumn calving dairies and those beginning to stock up for winter.
- Cereal hay: +/-$0 ($140 to $230/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 $240/t). Prices remain steady this week.
Southwest Victoria
- Demand for fodder is picking up as pasture feed begins to dry out in the Western District. There are reports that farmers are feeding forages with silage to prolong the feed available on farm.
- There has been a rise in demand for protein and cereal hay and consequently, lucerne prices have firmed this week.
- There is some vetch enquiry in the region which is selling for $245-$265 (+GST) delivered.
- Enquiry is steady and regular contracts are being fulfilled.
- Cereal hay: +/-$0 ($110 to $190/t). Prices remain steady this week.
- Lucerne hay: +$10($250 to $310/t). Prices have firmed this week.
- Straw: +/-$0 ($90 to $130/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($110 to $160/t). Prices remain steady this week.
Southeast South Australia
- There is still a lot of low-grade carryover in Southeast Australia, which has, and will continue to hamper local demand for feed.
- Land is beginning to dry out though, so it is expected that a change in demand will occur in late March, early April.
- There are reports that farmers are grazing and feeding out broad beans and stubble, as bean prices are low.
- New season vetch is available at $200/t on farm. Limited old-season vetch is available for $180-$190/t.
- Cereal prices have firmed only slightly.
- Cereal hay: +$10 ($60 to $160/t). Prices have firmed this week.
- Lucerne hay: +/-$0 ($160 to $200/t). Prices remain steady this week.
- Straw: +/-$0 ($60 to $90/t). Prices remain steady this week.
- Pasture hay: +/-$0 ($70 to 150/t). Prices remain steady this week.
Central South Australia
- The Central South and more precisely, the Adelaide Hills are drying out. Weather is quite dry and hot, and there is no expected change forecasted in the next few weeks.
- There is local demand and movement of hay and to areas in NSW, such as Broken Hill.
- Enquiry and pricing of hay is firming in central South Australia due to decreasing supply of feed and higher commodity prices of sheep. Straw prices have firmed for the second week in a row.
- There are reports of a pending change in market demand due to shortage of vetch and medic hay, particularly in the north and west of Adelaide.
- Cereal hay: +/-$0 ($90 to 170/t). ). Prices remain steady this week.
- Lucerne hay: +/-$0 ($250 to 300/t). Prices remain steady this week.
- Straw: +/$5 ($80 to $130/t). Prices have firmed this week.
Southwest Western Australia
- Demand in the Southwest is reportedly fairly steady as expected for this time of year, with small amounts of low-grade carryover and new season weather damaged hay moving to sheep farmers who lost forage from the recent cyclone.
- There is little enquiry from cattle farmers reported this week too.
- Export demand for good quality fodder is steady. Quality is high this year with minor weather damage.
- There is no price change noted this week.
- Cereal hay: +/-$0 ($100 to $250/t). Prices remain steady this week.
- Lucerne hay: +/-$0 ($450 to $490). Prices remain steady this week.
- Straw: +/-$0 ($80 to 110/t) Prices remain steady this week.
- Pasture hay: +/-$0 ($80 to $200/t). Prices remain steady this week.
- It is worth noting that what is classified as pasture hay in WA can vary greatly from meadow hay to sewn medics, citronella and clovers. Medics and clovers expect to get higher prices than meadow grass.
Northwest Tasmania
- Tasmania is starting to dry out however there have been a few smaller rain events in the past two weeks that have subdued demand for fodder.
- The straw harvest in Tasmania should be close to, if not already complete now. There is increasing enquiry for straw and demand is consistent from mushroom and composting farms in the north and south.
- There has been no change in price this week, but prices are expected to firm in the next month.
- 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.