Hay and fodder product continues to trade across eastern Australia, but the market has pulled back slightly from recent highs as rainfall events and stock movements ease immediate buyer urgency.
Activity has eased for a few reasons. Recent rainfall has reduced the immediate urgency some buyers were feeling, and some producers are offloading cattle or moving them to agistment rather than purchasing additional feed. On top of that, predicted rain is being forecast for the coming weeks in key dry areas, particularly the New England and Hunter regions, which is giving some buyers reason to pause.
Important reminder: Rain doesn’t equal feed. Even with moisture on the way, we’re heading into winter, and grass growth will slow significantly. Buyers should not rely on rainfall alone to meet their feed requirements for the colder months.
There is still a good volume of product available in the market. However, supply is increasingly sourced from Victoria and South Australia, being freighted north into the dry pockets of NSW and QLD, with some product travelling 750–800km or more.
The good news is that some recent relief in fuel prices is helping to keep delivered costs manageable for buyers in those areas.
XARM prices remain stable, product is moving, but not at a rate that is putting significant upward pressure on pricing just yet. Hold your pricing and reach out to the LocalAg team if you’d like guidance on where to position yourself.
Seller tip: Buyers purchasing products that will travel 750–800km or more want to know exactly what they’re getting before it arrives. Make sure you have feed tests and inspections completed before listing, buyers are making purchase decisions based on this information.
With the winter months still ahead, there is still plenty of time to move product. Stick with your pricing, stay in touch with the team, and take advantage of the time remaining in the season.
Winter is approaching and now is the time to plan. Don’t wait for conditions to deteriorate before securing feed. Sit down now and work out your feed requirements for the colder months.
Get on the front foot, source product now, get it into the sheds, and take comfort that you’re prepared. Predicted rain will offer some relief, but remember: rain doesn’t mean feed. It will certainly help, but it won’t replace hay in the shed.
Need advice on pricing or sourcing product? Reach out to the LocalAg team at any time.
Anthony walks through this month’s market conditions in detail in the video report.
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