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Driving Prices Up
- Dry conditions across parts of the country have reduced the availability of pasture feed, requiring supplemental feeding and the replacement of on farm stores of fodder.
- Supply shortages continue to have an effect of pricing, as many growers are supplying only to pre-contracted end-users or are selling direct from the paddock to locals, reducing the amount available on the market.
- Feedlots continue to look for a large quantity of good quality produce and are sourcing across a wide area.
- As we move into autumn farmers are looking to build up on-farm supplies for the cooler months ahead.
Driving Prices Down
- Green feed is still available in some regions and keeping demand down locally.
- A number of mixed farmers produced enough hay and silage for their own short to medium term use over the last season so they are not adding to the demand on the market.
- There is an abundance of feed grain options due to the bumper harvest combined with some adverse weather conditions leading to a downgrade of some grains.
- Hay and straw continues to be produced in some regions, supplying the local market.
- Trade in hay has slowed down across most regions which is traditional at this time of year. Though those areas seeing extended dry spells are increasing demand which is being met both locally and from interstate.
- Many areas are reporting an intention for large vetch plantings in the next season, to make up the shortfall from the failed vetch harvest of last year.
- Local roads and infrastructure are in serious need of repair and maintenance and these repair works are expected to continue for some months, especially in areas hit by flooding events in 2022. This will have on-going effects on farm businesses.
- The Bureau of Meteorology (BOM) states that La Niña has weakened in the tropical Pacific Ocean and is likely near its end. Ocean indicators of La Niña have returned to neutral levels, while atmospheric indicators that remain at La Niña levels have started to weaken. All but one of the surveyed international climate models suggest sea surface temperatures in the tropical Pacific will remain neutral through autumn; one model is neutral in March and April but touches on El Niño thresholds in May. ENSO outlooks extending beyond autumn should be viewed with caution as models typically have lower forecast accuracy at this time of year.
- Buyers are encouraged to feed test and view fodder before purchase to be sure of the quality of feed.