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Driving Prices Up
- Late spring rain hampering hay production in many parts of the country now, will again reduce the amount of good quality cereal hay being produced on what is already a reduced season due to export concerns and high grain prices.
- Prices for cattle and sheep are not expected to decrease soon and farmers are wanting good quality feed for these animals.
- Where winter like wet conditions have continued in Tasmania and southern Gippsland, farmers have not been able to produce the fodder they would like and will need to look at bringing in additional feed over the next ten months.
- Steady trade to farmers looking to secure progressive loads over the next twelve months will not likely push prices up significantly but will mean the movement of fodder will continue to be steady at a minimum.
Driving Prices Down
- A significant amount of last season’s weather damaged hay is on the market at a reduced price. With more damaged hay from this season expected to drop onto the market in the coming months.
- Good spring conditions will see many farmers producing and conserving as much silage as they can themselves, particularly along the NSW Coast and Victoria.
- A mild spring and rain have meant many farmers have not had to irrigate grass yet. Stock continue to graze and be supported by paddock feed at this point. Farmers able to utilise water for summer months.
- La Nina event where December to February is expected to be wetter than average for the eastern and central parts of the country further reducing the need for farmers to purchase extra feed over the summer months.
- Significant flooding continues in the Central West of New South Wales causing large scale damage to standing crops. The Darling Downs, Queensland are now being impacted by flooding this week. With further rain forecast for the entire east coast over the next seven days conditions will continue to prove difficult for growers.
- Majority of hay now baled with growers now processing hay that has been impacted by rain. Trade continues to be significantly down and will be until the new year before an anticipated increase takes place once farmers plan for the coming season.
- Boarder closures and permit requirements are easing now and making movement of agricultural machinery and hay less difficult.
- Silage season continues to be made on the New South Wales coast, and Southern Victoria. Southern Victoria continues to be hindered by wet conditions making it increasingly difficult to produce good quality silage.
- In the north demand in the Atherton Tablelands remains steady with a small amount moving locally. Following the ongoing rainfall in Northern QLD many parts including the Tablelands continue to have an influx of fresh grass. The Darling Downs region reporting one of the best seasons following good rainfall for the first half of the year. Oaten crops have started to be cut in the area for hay.
- New South Wales reporting good crops following timely rainfall. South Australia impacted by dryer conditions, further in the Southeast crops are on track but yields are expected to be done after difficult growing conditions this season. Hay season is in full swing in Northern Victoria. Several key factors still needed to take place and a relatively dry spring to improve on last year’s season.
- Western Australia has recorded one of its best season breaks. Rain has been timely for the west this season. Varied qualities of cereal hay being produced in the West as the season continues to be hampered by ongoing rainfall. Prices remain strong for all fodder types in WA.
- Buyers are encouraged to feed test and view fodder before purchasing to be sure of the quality of the feed.