Hay Report - Do we have enough now?

For the fortnight up to the 13th of November 2024.

By Dwain Duxson

I went on a trip from Central Victoria up the Calder and Sturt Hwy to the Riverland of SA (Berri) and then back down to Pinnaroo to Ouyen and down the Sunraysia Hwy back to home just recently. On my trip, I saw some serviceable Grain Crops that look like they are going better than expected. I also saw some paddocks with Hay in them and many that had been cut, baled, and loaded in the shed. If anything, I thought I would have seen more Hay, though.

I have heard from a few Hay people that there might be less Hay around than first thought. This is probably the case in SA and Vic, where frost damage overall might not have been as bad as what we were thinking earlier. But the Hay is in NSW, and there are some big yields. So that's where the big volumes look like coming from.

I was talking to one Farmer who dabbles in Hay, and he is tipping a solid price for Hay all the way through just on the back of demand in Vic and SA because of the dry year. I tend to agree with him now; it was different a few weeks ago when I thought supply would far outweigh demand. This will likely disappoint a few buyers who might have been hanging out for some price relief. But who knows? It's an inexact science picking Hay stocks

There is no doubt that Cattle and Sheep Farmers in Victoria and SA will need Hay for Livestock, but they will only buy in hand-to-mouth ratios.

Another interesting scenario is that the Dairy Farmers in the South have only done 1 Silage pass when they usually might do 2 or 3. This only happens when it's a dryer-than-normal year, and even though there has been some catch-up in the South, there just isn't the volume. So, Dairy Farmers will be requiring Hay.

Just recently, we have had to close 3 or 4 listings because of Hay Shed fires. This seems to be an issue every year now, and I'm not sure we are improving our record in this area. We need to find some answers to why it's happening on a regular basis.

For any Hay-related advice, ring one of the sales guys.

For 6-month payment terms through DelayPay, give Kelsey and call on 0409 117 730.

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

New Season Vetch is $350 to $385 a tonne, depending on where you are. It's firmed slightly.

The best Cereal/Oaten Hay is ranging from $255 to $280 a tonne, which hasn't altered yet.

Lucerne Hay is around $400 a tonne.

There is not much action on the Straw front, but the very best Shedded Straw is making $150 a tonne.

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

Paul Grayling - Mallee, Vic based

Paul said - We are starting to get a decent amount of New Season Hay listings on the site. There are some good tests coming back, mainly from Frost Affected Crop coming out of NSW, with Freight having a big say on how far the Hay will Travel. Sellers need to be mindful of the cost associated with Freight, as it has risen a lot over the last 12-24 Months. Quality in Victoria doesn't seem to be as good overall, although some pockets of the state did produce good quality Hay. 

Shane Ruyg - Qld based

Shane said - We are starting to see more Cereal Hay come onto the market, but in conversations with buyers, I don't think there is much around as first predicted, and prices are still strong. Feed Tests are holding a few up, and most are aware that they need one to sell as it's an important part of the process. Vetch Hay sales and listings have dropped off, with most either shedding it till harvest is finished or till next year when it's more critical. Not much is happening in the Straw market, and it will be interesting to see how much is produced in the southern states due to a below-average Harvest this season.

Mike Pickard - On the road

Mike said - There has been a slight pick-up in inquiry on Cereal Hay, but everyone is busy, so pick-up will be in a couple of weeks in a lot of the cases. There is still a lot of talk out there on pricing and how much there actually is going to be. Talking to a few in northern New South Wales, it is staying dry, so they may use some for themselves. Talking to Farmers on the central to North coast of Queensland very dry there, and they have to Irrigate their Sugar Cane a lot more than normal for this time of the year. Those who can are purchasing Hay now and putting it in the shed for later on.  

Jim Oehms - Northern Country, Vic based

Jim said - New season Hay is starting to come onto the market of all varieties, but from what I have heard, Lucerne and Vetch may be a bit shorter on supply this season. There is also some frost-damaged Hay poking its head up as well, but prices are accordingly from what I have seen. A few I have been speaking to in the Wimmera areas are still yet to start baling but should in the next week. It is a bit of a hit-and-miss in some Victorian and SA places. (One Farmer I was talking too said he would be able to throw a golf ball into his field and be able to see it on the ground, but 10km north was a much different story). Southern QLD and mid to northern NSW are having a bumper season, and I am sure they will they will end up with some good yields. I would suggest a Feed Test be done on Hay also.

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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