Driving Prices Up
- Significant flooding in northern New South Wales and Queensland has damaged summer crops and on farm fodder stores.
- A lack of clear weather, across a number of regions, is hampering early autumn hay production.
- There are reports some transport companies are applying a 5 – 10% fuel levy. Some hay growers, who deliver locally, have indicated they will raise cartage fees by up to 50 cents per kilometre or will apply a fuel surcharge of up to 10%, to cover increased fuel costs.
- Overseas conflict, rising prices for fuel, fertilisers and pest management chemicals are expected to impact the new cropping season. Grain and hay growers will choose crop varieties and make sowing plans to manage increased production costs and reduce risk.
- There is increasing demand for good quality cereal hay and vetch hay. However, supplies of both are low. Some farmers may be looking to purchase lucerne to fill the protein gap.
- With increased restocking, increased stock values and continued demand for Australian red meat, more cattle are being finished through feedlot options.
Driving Prices Down
- Recent rainfall has boosted pasture growth, alleviating the need for farmers to provide supplementary feed. Many growers in the southern states have been 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. New season hay quality is being impacted by continuing rain events across most states.
- Growers with lower grade hay stacked outside are expected to look to trade this in the coming months.
- The Darling Downs and northeast New South Wales regions, in particular Lismore, has been impacted by heavy rainfall and flooding. The full extent of damage and loss is to be assessed in the coming weeks once property is more accessible. Further heavy rainfalls have been predicted in coming days.
- Farmers and growers surrounding the areas of Gympie, Fassifern Valley and the north coast of New South Wales continue to coordinate hay donations to support farmers with livestock affected by the floods in these regions. Hay and silage are being donated with fundraisers to support high fuel costs to transport the feed into the area.
- Availability of pasture will keep the fodder trade minimal, however, this is often expected for this time of year. There is growing demand for high quality cereal hay, however supply is low.
- In Queensland, Fall Armyworm monitoring and management is well-underway.
- Summer rain throughout New South Wales, combined with continued warm weather, has supported grass growth, but any summer coastal hay production continues to be hindered by lack of consecutive clear days to support drying and baling.
- 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.