Driving Prices Up
- Significant flooding in Northern New South Wales and Queensland has seen damage to summer crops and on farm fodder stores.
- Some transport companies are applying a 3-5% fuel levy to cover the increased fuel costs for freight.
- Increased fuel costs will also impact hay production decisions.
- Overseas conflict and the continuation of rising diesel prices will impact the new cropping season for all growers as they look to plan what will be sown this season to manage the cost of production increases.
- Reports of limited good quality cereal hay being sourced for the cooler months, with a shortage of vetch hay farmers may be looking to lucerne to fill the protein gap.
- With increased restocking, valuable stock and continued demand for Australian red meat more cattle are being finished through feedlot options.
Driving Prices Down
- Recent rainfall has again boosted paddock feed, alleviating the need for farmers to supplement feed and irrigate extensively. Many growers in the southern states looking to seed ryegrasses and other pastures to utilise good soil moisture levels and milder temperatures.
- Varied qualities of fodder are currently on the market with new season hay quality being impacted by continuing rain events across most states.
- Growers with lower grade hay stacked outside will look to trade this in the coming months.
- Fuel prices are a cause for concern, with prices staying high driving up the cost of hay production.
- Heavy rainfall followed by flooding has impacted across the Darling Downs and into Northeast New South Wales in particular Lismore. The full extent of damage and loss to be assessed in the coming weeks once property is more accessible.
- Farmers and growers surrounding the areas of Gympie, Fassifern Valley and the New South Wales North Coast are coordinating hay donations to support farmers with livestock affected by the floods in these regions. Hay and silage is being donated with fundraisers to support fuel costs to transport the feed into the area.
- Trade in hay continues to be slow, which can be traditional for this time of year. The equine industry continues to be consistent consumer looking for good quality fodder.
- In Queensland, Fall Armyworm monitoring and management is well-underway. Continuing rainfall is hampering hay production due to lack of clear days for curing.
- Summer rain throughout New South Wales combined with continued warm weather has produced grass in the paddocks, any summer coastal hay production continues to be hindered by rainfall.
- Lack of rain in Southwest Victoria, and some parts of South Australia and Tasmania are driving some early enquiries from those looking to secure feed allotments for winter.
- Buyers are encouraged to feed test and view fodder before purchasing to be sure of the quality of the feed.