Hay Report - Hay goes from zero to hero

For the fortnight up to the 7th of June 2022.

By Dwain Duxson

The big run on Hay sales continues as it enters its third week, where Hay sales have dominated our spreadsheets.

What's contributing to this sudden lift in demand?

The cold weather is a factor. After a mild Autumn, the pattern has changed with some of the coldest weather seen for many years in Tasmania, Victoria and South Australia. I'm told there is more to come, and there are reports of snow down to 300 metres in Tasmania and Victoria this Sunday (12/06).

The lack of supply is concerning buyers of Hay. We all know quality is an issue, and those using plenty of Hay are struggling to find quality stuff. Many are working on buying just enough to get to the new Hay season.

Although we have seen a lift in prices over this 3 week demand spike, Hay is still relatively cheap, with most of the Vetch Hay selling under $300 a tonne. Buyers have crunched their numbers, and they see the value there.

What are the positives from this spike?

A lot of the Hay we are selling now has been listed for some time. So Farmers are rejoicing that they can sell some off and clear the sheds before the new season comes around.

Those that have been sitting on good quality Hay have either entered or are about to enter the market. This gives buyers an opportunity at some quality. 

There is some excitement back in the market. It's an encouraging sign for those in the Hay game. After 2 plus years of not selling much, this demand spike has come at a good time and might encourage more Hay to be made come the new season.

In the Hay growing areas of Victoria and the Riverina (NSW), the season in many spots is near perfect, nice early start, not too wet and not too dry. In South Australia, where a lot of Hay is grown, it's been more of a dryer start, with some only experiencing their "break" last week.

We have had a few people enquire about using DelayPay to buy Hay. Click here to receive a callback and find out all about it.

The AFIA 2022 National Fodder Conference is on again from the 25th to the 27th of July. It's the premier event for both the domestic and Export Hay markets, and I urge you all to attend. Click on the link here and scroll down, where you will get all the info. See the flyer below.

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

There is a lack of A1 Vetch Hay around, and hence we didn't see many sales of $300 plus a tonne. But the second tear stuff lifted $5-$10 dollars a tonne, selling in the range of $240-$275 a tonne.

There were some good prices for the Export quality Oaten Hay with the best stuff making over $250 a tonne.

Some first cut Lucerne Hay made $285 a tonne.

Good Pasture Hay made $180 a tonne.

Straw sales got to $70 a tonne with not much traded this fortnight.

All prices quoted are ex GST and ex Farm.

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

Paul Grayling - Mallee, Vic based

Paul said - We have seen good interest in Hay as the Winter is fast approaching if not here already. Oaten Hay has been popular, and also Production Hay seems to be in demand. Feed tests are imperative with so much variance between good and poor quality. They are a great tool for getting value for money and also keeping track of what is going into your stock. 

Shane Ruyg - Qld based

Shane said - What a huge couple of weeks it was with the Hay job lifting to levels that haven't been seen for some time. Vetch Hay and Oaten Hay were the main lines sold with roughly around 3500 tonne moved during the fortnight. 

Buyers have come back into the fray with the cold weather arriving, the uncertainty of what will be baled this year, and the likelihood that there may be a shortage going forward.

Mike Pickard - Travelling around 

Mike said - Wow, how things can change in a couple of weeks where Hay has gone from zero to hero. As people move into Winter, the need for feed has increased with good quality hay in demand.

Export quality Oaten Hay sold for $250 a tonne out of the Riverina, and Wheaten Hay rolls in Northern Victoria selling for $165 per tonne.

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

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.

For payment terms for buyers, try DelayPay.

For payment terms for buyers and a spendable credit limit in 12-24 hours, go to our DelayPay page here. If you are keen to know more ring Kelsey 0409 117 730 or Hannah 0429 479 072