Driving Prices Up
– Strong grain prices and generally good conditions is seeing a big percentage of growers confirm now that they will take their cereal crops through to grain leaving any new season good quality hay to be a valuable commodity at this point.
– Hailstorms reported across New South Wales this week have done significant damage to crops that were on the verge of harvest.
– Currently the hay industry is at an all-time low with regards to trade, but some farmers are taking the opportunity to seek out existing good quality hay that can be stored for dryer times. This continued trade will cause slight fluctuations in pricing.
– Livestock continue to trade well, and farmers will look to good quality feed to carry younger stock through summer until they are ready for market.
Driving Prices Down
– Domestic trade has reduced even further as many farmers concentrate on silage production. New season prices are not expected to increase dramatically as many farmers wait now to see how much is produced and the quality of new season hay.
– A significant amount of last season’s weather damaged hay is on the market at a reduced price. It will be unlikely now to see that hay move so close to the new season.
– Good spring conditions will see many farmers producing and conserving as much silage as they can themselves, particularly along the NSW Coast and Victoria.
– Australia continues to do well with no significant drought or natural disaster requiring the high volumes of hay being traded to all states that we have seen previously over the last ten years.
– Wet conditions this week from Queensland right down to Victoria. Western Victoria and Central South Australia have become increasingly dry without timely rain over the last four – six weeks.
– Despite the reduction in hay plantings this season regular growers with good undercover storage will still aim to produce and store as much premium hay as possible.
– Boarder closures and permit requirements continue to be a concern for contractors as they start to move between states.
– Majority of spring silage has been made now in Northern Victoria, with Southern Victoria starting in the last fortnight.
– 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 starts to a season following good rainfall for the first half of the year. Barley crops have started to be cut in the area for hay.
– Southern Australia is again on track for a good season with timely rain, most regions are reporting good growth. Northern Victoria have started to cut silage, with many growers looking to turn these paddocks around for hay with good conditions. 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 continued to fall during August but not the record falls recorded in July. High yields expected through the region as the season continues to progress well. 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.