Hay Report – 23 March 2018

• Demand for product in northern Queensland is low, as persistent rainfall in the past few weeks coupled with high temperatures has encouraged on farm grazing.
• 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

• Burshifres have devastated two regions in the South – Western Victoria and Bega. Fodder donations are being sent to relieve farmers and livestock.
• New season hay is selling quickly and carryover stocks from 2016 are beginning to deplete.
• Demand is firming in Central West New South Wales, Central South Australia, and Gippsland and should continue for some time.
• There is some silage production and feeding in the Western District of Victoria, Tasmania, Bega and in West Gippsland however supplies appear to be running low. Protein enquiry is lifting as a consequence and expected to remain for the next month or two.
• 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

• Atherton Tablelands have had consistent rainfall ranging from 3-5mm over the past week, with a couple of days of sunny weather.
• There is enough water in the soil to prevent haymaking activity however the couple of clear days this week were reportedly amenable for planting some grass seed.
• Demand has eased right off this week. Big orders mad e over the past month have been cancelled, dur the heavy rainfall received in the past few weeks. Small orders are continuing to be sourced.
• Pasture hay: +/-$0 ($250 to $300/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

• There has been clear weather over the last week in the Darling Downs. Farmers are reportedly hoping for some more rain to promote and maintain soil health and prevent drying out.
• There is currently some forage sorghum and millet being cut for hay. Sorghum stubble may also be cut for hay too. Weeds are being sprayed in the lead up before winter planting. Early feed oats and barley for feed and hay is currently being planted.
• Demand has dropped off a little bit from the recent rainfall in Queensland however there’s strong demand from southern NSW and Victoria now. Victoria is in demand of all forms of hay from cereals to protein, following the fires in the Western Victoria region.
•  No changes in price noted and despite the fire tragedy and increase in demand from Victoria, it is not expected that prices will firm.
• Australia has grown a big crop of cottonseed 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.
• 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 has had some clear and warm weather this week with some light and consistent rainfall expected for the weekend. The cyclone off the coast did not make landfall.
• Farmers and contractors have been making some Rhodes grass hay and silage. Millet and sorghum silage has also been produced.   
• Demand continues to be very slow and sluggish for the region, after a good season of hay and silage production. It will probably continue for a little while with plenty of hay and silage in sheds.
• 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

• There was some patchy rain in the last few days reportedly ranging from 0-20mm in the Central West. Temperatures are cooling down to the mid-low thirties and windy.
• There has been 6th cut of irrigated lucerne with a 7th and silage cut expected. Other tropical grasses such as teff grass has been cut for small bales for the equine industry.
• Planting has started on irrigated properties of early oats for sheep and cattle feed. Soils have been prepared in the region with tractors reportedly parked and ready to plant once the autumn break arrived. Some pre-watering has occurred on irrigation paddocks, which have been ploughed and are waiting to be planted.         
• Hay demand is still strong, however has only slightly weakened after the rain in Queensland. Most of the demand is coming from local users and buyers up north with incoming hay coming from the south.
• No price changes this week, however it is worth noting that current cuts of lucerne are in the high range.
• Cereal hay: +/-$0  ($150 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

• A fire went through Bega last weekend, which mainly hit bushland and some residential properties in Tathra. According to sources; no major farms were impacted in the fire. Rainfall of up to 10mm has come through late this week, and a cooler change in temperature following the fire, which was to relief of the local people.
• Soil preparations are currently in process with sewing of winter ryegrasses and oats expecting to be sewn now that rain has come.     
• Demand for hay is reportedly steady and local.
• No changes are noted this week although there is talk of price-firms in future.
• Cereal hay: +/-$0 ($220 to $280/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 ($140 to $210/t). Prices remain steady this week.

Goulburn/Murray Valley

• Weather conditions have cooled over the last week with temperatures ranging from mid-low twenties and no rainfall. Farmers are waiting for the next rains with a traditional autumn break around East weekend to Anzac Day.
• Current on-farm activities include last cuts of irrigated lucerne before a silage cut, and winter ryegrass is being sewn. Otherwise, more soil and machinery preparations as well as pre-season spraying are keeping farmers busy whilst waiting for autumn rainfall.          
• There is reportedly solid demand from areas such as Gippsland and New South Wales, with some farmers having sold out for new seasons hay. There is also strong demand for cheap fibre in low-grade carryover from local dairy farmers. The Western Victoria region is in demand for some vetch, but the impact from the fire is yet to be realised.
• No price changes noted this week.
• 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

• Gippsland received from rainfall this week averaging from 5-15mm across the region. Weather is in the mid-low twenties.      
• There is very little grass available to graze, and dairy farmers are mostly feeding out silage, which is expected to continue for the next month. Winter ryegrass is being sewn and paddocks are being prepared.       
• Demand for feed is strong in Gippsland. There is still some carryover hay around, which is beginning to move.
• No price change noted.
• 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

• The Western Victoria region was hit with a devastating bushfire over the weekend that impacted over 200 farms in the district. Temperatures have cooled off to mid-twenties however rain has been minimal.          
• There have been generous donations from all over the country to support farmers and livestock impacted by the fires.         These donations have been covering most of the local the trade at present and otherwise demand is steady.
• Protein hay is in demand in this region as silage supplies run low due to dry conditions. Demand is expected to continue for another six weeks.
• Farmers are reportedly enquiring and ordering vetch hay which is selling for $245-$265 (+GST) delivered.
• Cereal hay: +/-$0 ($110 to $190/t). Prices remain steady this week.
• Lucerne hay: +/-$0($250 to $310/t). Prices remain steady 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 were some showers near Mt Gambier earlier this week. More showers are expected inland this weekend, which is in desperate need of rain. Temperatures are in the high twenties to low thirties and it’s reportedly very windy.
• Lucerne farmers are on their last cuts and harvesting seed.
• Other activity on farm includes soil preparations – mulching, working stubbles into the land with dry sewing predicted to begin in a fortnight.
• Demand is starting to pick up but it’s mostly regular trade. Locals are hoping demand to pick up at the end of the month.      
• Prices for lucerne have firmed for new season cuts.
• New season vetch is available at $200/t on farm. Limited old-season vetch is available for $180-$190/t.
• Cereal hay: +/-$0 ($60 to $160/t). Prices remain steady this week.
• Lucerne hay: +$25 ($160 to $250/t). Prices have firmed 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

• Central South Australia and the Adelaide Hills are experiencing change from summer weather with cooler evenings, and drying mid-high twenties.
• Current activity on farm is centred around soil remediation by spreading chicken manure, lime, and gypsum, with no spraying necessary.
• Increasing enquiry for hay is mainly from western NSW. A lot of hay was moving to Queensland however this has dropped off in demand since the recent break. Otherwise hay demand has been consistent throughout the hills in the last week and new season hay appears to be moving quite quickly.
• Prices have not changed but expected to firm coming into winter.
• 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: +/-$0 ($80 to $130/t). Prices remain steady this week.

Southwest Western Australia

• There was reportedly no rain in the last week, and temperatures are averaging in the thirties. There is a cyclone off the west coast out to sea, which may hit the southern coast on the weekend or early next week.
• Burning seasons have opened in most areas and farmers are beginning to prepare paddocks for raking and burning stubbles and cleaning up paddocks with rocks.
• 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.
• 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.

Northwest Tasmania

• North West Tasmania has received 25-30mm of rain over the weekend with temperatures averaging 15-18 degrees. Sources say that after a reportedly driest spring and summer on record, failed crops are being put back to pasture and are being renovated.
• Planting of winter fodder crops such as oats, and barley are also underway. Army worms were a significant problem due to the dry season in this region, with some farms having to spray twice
• Demand is steady for new season fodder. Most of the silage on dairy farms has been fed out already, which is keeping the demand for hay steady.   
• No price changes noted this week.
• 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.