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Driving Prices Up
- Cost of production concerns continue going into the new season with further AdBlue shortages being reported this week as well as price increases already across fuel, chemical, fertilizer and machinery.
- Good quality cereal hay will be in short demand following two wet springs in many states during 2020 and 2021, as well as reduced plantings.
- Flooding in Central and Western New South Wales, water continues to lay on paddocks damaging lucerne stands, paddock feed and new season crops.
- Cattle market predictions for the new year could transverse several ways for the fodder industry, a possible dip making it affordable for more farmers to restock.
Driving Prices Down
- Varied qualities of fodder are currently on the market with new season hay being impacted by rain events.
- Milder conditions and regular rainfall have seen paddock feed continue to do well, alleviating the need for farmers to supplement feed. Many also have good, conserved fodder of silage and hay for the coming months.
- Good irrigation stores that have built up during the year from timely rainfall as well as affordable temporary water mean many farmers can continue to water feed over the coming summer months.
- La Nina event where December to February is expected to bring above average rainfall and mild conditions 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 that are now unsalvageable. The Darling Downs, Queensland also continue to be impacted by rising water from recent heavy rain. The Bega Valley, New South Wales saw water levels quickly rise causing flooding earlier this week with many roads cut.
- Recent flooding declared a natural disaster now to many regions, those affected can report damage to their industry group with assistance being provided by a joint Commonwealth and State fund.
- Majority of hay now baled with growers now concentrating on grain harvest. 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.
- 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.
- 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 all but complete in Northern Victoria.
- Western Australia has recorded one of the best seasons 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.