Driving Prices Up
– Reduced production of hay for export across the West and South Australia will mean no overflow into the domestic market.
– Cost of production with many products not available or significantly increased in price, in particular fertiliser due to COVID. Labour shortages continue to impact growers as they race to secure staff for the upcoming harvest with many having to pay increased wages to remain competitive.
– Despite a strong cattle market feedlots are increasing numbers to meet export markets and will need the fodder to support this demand.
– A new season shortage of good quality cereal how as many growers are now on the edge of deciding to let crops go through to grain with good pricing in this sector as the northern hemisphere reports reduced yields.
Driving Prices Down
– Good winter rainfall over a large part of the country is seeing stock moving onto green feed now and farmers holding off on further purchasing of fodder.
– All time high cattle prices continue to impact the trade of hay as many farmers are selling stock at weaning and not requiring the extra feed to carry them through.
– Significant amount of weather damaged hay is still on the market now pushing the lower end of pricing further down as growers look to move this before the new season. Growers will find this difficult to move now at this point in the season.
– Timely rain this week across the eastern parts of the country following some warmer conditions and wind. Crops have been boosted with many growers able to apply fertiliser prior to the rain front passing through.
– Many growers have started or are on the verge of cutting for silage with big crops being reported.
– Many farmers still feeding out in southern Victoria where paddocks have still been too wet to graze and farmers wanting to prevent too much damage from stock.
– In the north demand in the Atherton Tablelands remains steady with a small amount moving locally. Following the recent rainfall in QLD many parts including the Tablelands have had 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.
– Southern Australia is again on track for a good season with timely rain, most regions are reporting good growth. 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 been widespread this season with reports July was one of the wettest months on record. 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.