Pacific Northwest Hay Market Snapshot

Northwest Situation

Rain disrupted first cutting across the Northwest and inventory of high quality hay is

limited. Rain-damaged hay abounds and prices are weaker year over year.

Dairy demand for alfalfa is uncertain as record volatility drives dairies to buy hay as needed.

Export demand remains favorable. However, shipping container supply and ship sailings will

continue to be a challenge through the COVID-19 disruption.

In Montana, first cutting is underway with few weather interruptions. Current alfalfa prices

per ton range from $75 for fair quality to $125 for premium quality hay; grass hay is selling

for $85-$125. Dry conditions in areas of Montana and western North Dakota are causing a decline in dryland hay production and may create an increased demand for hay left over from the previous year and new crop for 2020.

First cutting alfalfa in Idaho was disrupted by rain. Supreme hay continues to trade between

$180 and $200 per ton or around $1 per RFV point. Good to premium prices range from

$140-$170 per ton, and fair quality prices range from $120-$135 per ton. Prices for lower

quality hay are decreasing as supplies of rain-damaged hay increase.

In the Washington-Oregon Columbia Basin, as much as half of first cutting alfalfa and

timothy received some level of rain damage. Higher quality alfalfa is trading around $200

per ton, while lower quality feeder hay is trading at $140-$170 per ton. Prices are lower

than a year ago due to an abundant supply and lower quality.

High quality timothy prices rallied after widespread rain damage, trading between

$270 and $280 per ton. Lower quality is trading in a large range between $160-$255

per ton depending on level of rain damage.

Demand in the Oregon-California Klamath Basin is favorable with tightening supplies.

Premium alfalfa is trading around $200 per ton and good quality hay is trading between $155

and $185 per ton.

US Hay Exports

West Coast alfalfa exports to China increased 42% year over year, spurred by the tariff

exemption of September. April alfalfa exports set a new monthly record of 290,000 metric

tons. China bought 127,000 metric tons in April, just under last October’s record high.

Sales to Japan reached 66,000 metric tons, the highest monthly total since 2013.

Exports to the Middle East eased but were offset by recovery in Chinese exports. Total

alfalfa exports are up 9% year over year.

Shipping container availability and ship sailings remain inconsistent as demand for

consumer goods fluctuates.

Grass hay exports grew 3% year over year. Japan increased imports 8% and Taiwan

increased imports 4%. Chinese imports of grass hay nearly tripled. The growth in grass

exports to China are favorable but still comprise warm season grasses from the

Pacific Southwest. Timothy exports will likely begin during the 2020-21 season.

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