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Summary
Driving Prices Up
- South west Victoria and South Australia continue to have reduced pasture availability which is keeping the movement of hay and the cost for the fodder high.
- Many producers are continuing to rebuild on-farm stores or lock away production for export or pre-contracted buyers. Those aiming to fill their hay shed storage capacity may hang on to supply in order to extend their selling season and monitor market pricing.
Driving Prices Down
- The first of the early season’s cereal hay has entered the market with a range of pricing. Some hay producers without on-farm storage capacity, are offering a lower price with the aim of moving hay off-farm to avoid any weather damage.
- With many hay sheds across the country still empty, a focus on filling shed capacity over the coming months may result in a steady market and pricing, rather than a flood of supply entering the market this season.
Local News
- Farmers in areas of New South Wales and Victoria are starting to make decisions about cutting crops for hay or silage, following recent frost events, with a focus on sufficient dry matter to minimise hay harvest losses.
- The BOM has released a Climate Driver Update, reporting that the El Niño–Southern Oscillation (ENSO) is neutral, with both sea surface temperatures (SSTs) in the central equatorial Pacific Ocean and atmospheric patterns at ENSO-neutral levels. While some atmospheric indicators such as pressure, cloud and trade wind patterns over the Pacific have been more La Niña-like over the past few weeks, there has yet to be a consistent/sustained signal. The Bureau’s model suggests SSTs are likely to remain within the ENSO-neutral range throughout the forecast period to February 2025. The next update will be released 15 October.
- Buyers are encouraged to feed test and view fodder before purchase to be sure of the quality of feed.