Hay Report - How good is it to have diversity?

For the fortnight up to the 19th of April 2023.

By Dwain Duxson

It's Sowing/Seeding season, and going by the amount of Vetch, Oat, Lucerne, Pasture and Clover Seed we have sold through our Farm Tender system, you would think that we would have a bountiful Hay Season ahead.

But as we all know, it's mostly what happens towards the end of the season that defines the new Hay season outcomes, not the start. When planting these Crops, Farmers would have the best and most profitable outcomes in mind. Many would be thinking Hay, as there is very little around, but these Farmers know that they have options if the markets or the season changes. Other options for most of these Crops include Grazing, Green or Brown Manure, and Seed or Grain. How good is it to have diversity?

The current Hay Market is still pretty slow, with only hand-to-mouth traffic happening right now. Although sales haven't increased too much in the last fortnight, the inquiry has, as we lead into the colder months.

Just driving around and talking to Farmers, there has been some good Rain around the Southern states. Many are calling it a break, so there is feed around that is starting to get away.

We're still standing by our original statement that we think, post drought, many Livestock Farmers made a promise to themselves never to get caught out buying expensive Hay and Freight ever again. Post-drought, many Farmers decided to buy their own Hay Equipment and store surplus supplies in the good times, in readiness for the next dry period.

So our thinking is that with a few good years under our belt, many would have got some decent volumes stored.

If that's the case, the domestic demand pie for Hay might have shrunk in an overall sense. However, to counter this, Livestock numbers for both Sheep and Cattle have risen exponentially, so there are more mouths to feed.

There are a lot of variables at play, so let's keep an eye on how it all plays out.

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

It was a little bit quieter on the Lucerne Hay front this fortnight. Most of the Lucerne Hay is trading for between $350 and $385 a tonne. 

Most Straw is selling for around $75 to $95 a tonne. 

Vetch Hay prices stayed stagnant at around $250 a tonne for reasonable quality stuff.

We made sales for Cereal Hay at between $145 and $180 a tonne. One specialty lot of Oaten Hay made $270 a tonne.

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

Paul Grayling - Mallee, Vic based

Paul said - The last fortnight I have seen a lift in Silage being looked at and purchased. There has also been a slight lift in Straw enquiries. Still not many parcel size deals as the majority have been spot loads with the ability to deliver seeming to attract more buyers as Freight can be a fair obstacle to overcome due to both price and availability of Freight. As the weather cools off, we expect to see some more listings along with a spike of interest in current listings. 

Shane Ruyg - Qld based

Shane said - Now that Autumn is in full swing and rain falling, bringing in colder weather, we are seeing a lot more enquires on Hay and Straw with some good sales and potential for more with buyers looking to lock in a parcel to get them through the winter months. Pricing is holding firm atm, and with demand likely to rise, I don't see that changing anytime soon. And a good start for next season's Hay with favourable weather early this year with the potential of good quality Hay if the pattern holds.

Mike Pickard - Travelling around 

Mike said - Quiet on the Hay inquiries over the last fortnight. Just a few spot loads being sold. If you have any Hay out there, you need to get it feed tested, as the only inquiries being made are mainly on Hay that has a feed test. As production was down this year, there is only a certain quantity out there at this stage. As the weather gets colder, inquiries will pick up.

Jim Oehms - Northern Country, Vic based

Jim said - I haven't had much on the Hay side this week but have been asked quite a bit on what the Hay job is doing and if they should list now or wait. Mostly Lucerne and Vetch Hay have been the talking point. Also, people buying Hay are finding it a little hard to get transport straight away as everyone is busy.

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)

Introducing Load Looper, the invention designed by Ian and Andrea Hamilton, who are Farmers at Tatyoon. Ian best describes how Load Looper works here. "Load Looper is a weighted ball device that attaches to a loading strap to carry the strap over the highest legal loads and simplify the loading process.

To watch a video on how it works or to buy Load Looper go to the website here.

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