Hay Report - Demand dries up areas go from zero to hero

For the fortnight up to the 6th of November 2023.

By Dwain Duxson

What a difference a rain or two makes. Hay demand has gone quiet on the back of some good widespread rains up and down the Eastern states of Australia.

Most people within the Hay industry know how it works. It's a hand-to-mouth market, and when there is green feed, the last thing on a Livestock Farmer's mind is buying Hay. There are still loads going out, but the urgency has dropped right out of the market.

But as we said a fortnight ago, we expect more of a constant steady stream of Hay going out due to the fact that it's much better quality Hay from this season, and it's reasonably priced, and there are market for that.

Mike points out below that with the rain in Queensland, it's been an opportune time to plant some forage Crops, some of which will be cut for Hay or Silage.

The Queensland and Northern NSW Feedlots have enough Straw, which they have sourced locally, to last them for a fair stretch.

Hay sales into Gippsland have also dried up a bit on the back of some good rains there.

The Bega Valley was also a hot spot for Hay sellers, but with some good rain about, that market has dropped off. On Farmer said he has gone from zero to hero with 325mm over the last 3 weeks, and he is now about to make Silage, which looked out of the question before it started raining.

On a positive note for the Hay industry both the Cattle and Sheep market have picked up dramatically.

What's happened to Hay prices over the last fortnight?

With a little bit of a spike in price for Vetch, it's settled back down, and $300 a tonne seems to be the number where buyer and seller meet.

Good new season Clover Hay made up to $275 a tonne. 

Oaten Hay, underpinned by the Export market, made up $285 a tonne in the last fortnight.

There is bugger all Straw moving in the South as most of the Northern Feedlots have ample and are able to source locally. 

We go around the grounds to see what our Farm Tender Salespeople have to say:

Paul Grayling - Mallee, Vic based

Paul said - Over the last fortnight, we have seen quite a lot of rainfall around most of the Eastern States. This has had an effect on Hay Sales; with new listings popping up almost on a daily basis, we are starting to see the Hay stocks return to a healthier level. Also quality from this season is considerably better. Also, we are starting to hear some noise around the Stock job, so hopefully, that will transfer into sales, but it looks like that will present itself more so next year. 

Shane Ruyg - Qld based

Shane said - A quieter fortnight on the Hay job with the rain up North putting a halt to a lot of potential sales that were headed that way. We're still seeing the odd load of Vetch, Clover and Cereal Hay going out, but the Straw job atm is non evident, with most up North hoping they will get a green pick and grow some of their own feed for the time being. The upside to this is that Livestock prices have jumped and hopefully continue, and this, in turn, will help later on when they need Feed for their animals.

Mike Pickard - On the road

Mike said that with good rain falling across the East Coast, a lot of farmers have taken advantage of putting in some Forage Sorghum as well as Millet to generate some Stock Feed while pastures recover. Talking to one Hay supplier in Central Queensland, he said there is a fair bit of Hay around him and at Biloela ready to be cut, just waiting for it to dry out a bit. They are hoping to get it in a Bale and into the Shed before the next rainfall event, which is a cyclone off the East Coast. On the Darling Downs, Feedlots are full at the moment with Straw; there was a lot of Straw baled this year, so there is plenty to go around. Sales of Hay in Victoria and the southern part of New South Wales have slowed down dramatically. It is probably not worrying too many sellers at the moment as they are flat out Harvesting.

Jim Oehms - Northern Country, Vic based

Jim said - New season Hay has picked up with listings of Pasture, Vetch, Wheaten, Oaten and Barley Hay. Prices are pretty compatible with the market also. Some that I have spoken to are just holding off buying some Hay just yet due to the recent rains, and things are getting greener now. Transport costs continue to be an issue. I talked to a few in SW Vic, and they need more rain as it is a bit dry and missed the last rain event. Getting a feed test will be suggested if you are going to list your Hay, and an inspection is encouraged as well for buyers.

End of message

For more information on selling or buying Hay contact the following:

Paul Grayling – 0447 069 082 or paulg@farmtender.com.au

Shane Ruyg – 0447 922 604 or shaner@farmtender.com.au

Mike Pickard – 0429 677 636 or mikep@farmtender.com.au

Jim Oehms -- 0481 102 288 or jimo@farmtender.com.au

Or 1300 Farming (1300 327 646)

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