Forage Fodder

Wednesday, February 11, 2026

Hay sales increase in January

Market sentiment has improved as anecdotal reports indicate that export demand strengthened modestly in January, helping support slight price gains. Part of this improvement reflects supply finally coming back into better balance with demand. December 1 on-farm hay stocks in AgWest states fell 6.5% from last year. Farm hay stocks in AgWest states fell 6.5% from last year. Every western state reported lower winter inventories except Washington, which held steady.

While January export data is not yet available, November U.S. hay exports were down 4.4% year over year. However, the decline continues to narrow as shipments improve to South Korea and the Middle East. In the West, an unusually warm winter has extended grazing and reduced the need for supplemental forage, further slowing hay movement. In central California, warm fall temperatures prevented alfalfa stands from going dormant, forcing some growers to delay baling or harvest fields as chopped forage. Meanwhile, Arizona and Montana are seeing more active demand due to localized weather effects. Arizona hay growers experienced rare winter rains that damaged uncovered stacks and delayed final cuttings, boosting interest in protected hay. In Montana, tightening inventories and the expectation of colder February weather have begun to push more hay through the market.

For many western hay growers, prices remain near or below breakeven, creating stress on credit lines and increasing the likelihood of acreage reductions in 2026. With acres already trending lower and usage gradually improving, supplies in several western states are beginning to tighten. If demand firms later this spring, the market is positioned for potential price appreciation.