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Summary
Driving Prices Up
- Western Australia’s dry period continues unabated with little to no rainfall being recorded across the south west, and pastures unable to support livestock and dairy herds.
- Some green pick has emerged from recent rains in Victoria and Tasmania, but the underlying conditions remain quite dry. With temperatures beginning to drop and growth slowing, fodder supplies are increasingly being needed to supplement pasture feed.
- More farmers are looking to secure winter feed supplies and are contracting their requirements, this is providing a floor value for some producers on in-demand fodder lines.
- Exporters remain a player in the marketplace continuing to provide a baseline price for a wide range of cereal fodder supplies.
Driving Prices Down
- QLD and most of NSW continue to see good growing conditions both for existing pastures and newly sown fodder crops.
- Sowing of winter fodder crops in continuing in QLD and NSW as well as some parts of Victoria which is continuing to bolster confidence of good feed availability as the temperature drops.
- Varied quality of fodder is still available on the market. Growers with lower grade hay, particularly hay stacked unprotected outside are expected to actively trade this in the coming months.
Local News
- Tasmania is continuing to see drying conditions which is putting pressure on available fodder supplies. Some parts of the state are recording their lowest rainfall on record.
- Dry conditions in WA are continuing to see livestock producers, especially sheep graziers, making decisions in regard to the viability of their enterprises moving forward, with many continuing to destock, or conserving core breeding stock only.
- The Bureau has stated that El Niño has ended and the El Niño–Southern Oscillation (ENSO) has returned to neutral. Climate models indicate ENSO will likely continue to be neutral until at least July 2024. Models indicate that central Pacific Sea surface temperatures (SST) to reach La Niña thresholds in July, El Niño and La Niña predictions made in mid-autumn tend to have lower accuracy than predictions made at other times of the year. This means that current forecasts of the ENSO state beyond July should be used with caution. The global pattern of warmth is affecting the typical historical global pattern of SST associated with ENSO variability. As the current global ocean conditions have not been observed before, inferences of how ENSO may develop in 2024 that are based on past events may not be reliable.
- Buyers are encouraged to feed test and view fodder before purchase to be sure of the quality of feed.