Tuesday, November 30, 2021
Monday, November 29, 2021
State-By-State Hay Summary
Colorado—In the Nov. 18 report, compared to last week, trade activity moderate on good demand for horse hay. Horse hay sold steady this period. Trade activity light on good demand for ranch hay. Trade inactive on all other hay markets. According to the NASS Colorado Crop Progress report for the week ending Nov. 14, fourth cutting alfalfa hay harvested is at 96 percent. Stored feed supplies are 15 percent very short, 26 percent short, 50 percent adequate, and 9 percent surplus. According to the U.S. Drought Monitor’s High Plains Summary for Nov. 16, in eastern Colorado and western Kansas, drought worsened and expanded in some locations, as soil moisture continued to decrease and precipitation deficits on the short- and long-term continued to grow.
Missouri—In the Nov. 18 report, compared to last report, hay business is fairly slow as is typical this time of year a few local sales and some horse and dairy business but for the most part not a lot of hay moving. The supply of hay is moderate and demand is light to moderate and prices mostly steady. Mother Nature has been keeping things interesting in the state. Snow and sleet late last week with some extreme winds, followed by a warm up that reached 80 in a few places only to drop the bottom out and get cold enough to freeze standing water the end of this week. Still a few farmers trying to get the last of their crops out just under 20 percent of the bean crop is left in the fields and about 5 percent of the corn crop. A lot of farmers cutting in anhydrous as the weather allows.
Nebraska—In the Nov. 18 report, compared to two weeks ago baled hay prices in the central and eastern area steady. Ground and delivered hay unevenly steady. In the western area of the state steady to $10 higher on baled alfalfa and steady on ground and delivered. Demand is good in the west with moderate demand in other reporting areas of the state. Cornstalk baling has been very steady the last two weeks and will continue if the weather is dry. This rough feed will help stretch alfalfa and other hay through livestock feeding. On the most part seasonal temps across the state. However, single digits lows were reported in the west early Nov. 18.
Oklahoma—In the Nov. 12 report, compared to the last report Oct. 29, not much has changed, hay remains steady for much of the state with good demand, while movement is beginning to raise. Feed cost are still high, which causes hay to remain the main feed resource for the producer. Milk prices are still low, dairies are continuing to move to cheaper feed rations. Dry conditions continue in most of the state according to the Mesonet. Due to limited sales and price changes this report will be released bi-weekly until more volume of hay is moving. Next report will be released Dec. 3.
Texas—In the Nov. 12 report, compared to the last report, hay prices are steady in all regions. Trading activity and demand were moderate. Hay is beginning to move more as producers are stocking up for winter. However, a lack of trucks and increased trucking prices have slowed down movement some. According to the U.S. Drought Monitor, in eastern Texas and Oklahoma widespread rain over a half inch fell this week. As a result, many areas from the Dallas-Fort Worth Metroplex and eastward along the Red River saw improvements to ongoing drought and dryness. Improvements also occurred in south Texas. In parts of southwest Texas that did not see rain, some worsening of drought conditions occurred, due to increasing precipitation deficits and lessening soil moisture. Due to limited sales and price changes this report will be released bi-weekly until more volume of hay is moving. Next report will be released Nov. 26.
New Mexico—The hay growing season is over. Last report for the season was issued Nov. 5. Reports will resume in April 2022.
South Dakota—In the Nov. 19 report, compared to last week, all classes of hay firm. Very good demand for high feed value testing alfalfa hay, good demand for all other qualities. The weather has gotten colder, with a few warmer days in the middle, but still no snow cover is helping to stretch forage supplies as beef cows are out grazing winter pastures or crop residues in the field. Cattle producers in the worst of the drought areas are selling calves, or have sold already, as they try to reduce their forage needs. Next report will be released Dec. 3.
Wyoming—In the Nov. 18 report, compared to two weeks ago, bales of alfalfa in the eastern areas steady to $10 higher and fully steady in the western reporting areas. Demand was moderate to good as some livestock owners are afraid, they might not have enough winter feed. Some are thinking of baling cornstalks and other low-quality feed to blend with higher protein feed for rations. Majority of the hay producers are done with 2021 alfalfa production with a few still baling the final acres of hay.
Montana—In the Nov. 19 report, compared to last week, hay sold fully steady. Demand for hay remains very good. A portion of ranchers continue to search for hay however this has started to slow. Limited sales were seen this week. Hay continues to sell out of neighboring states and Canada; delivered prices for these offerings continue to be $285-$325. Producers are starting to market dairy quality hay. Initial asking prices are $35-$375 per ton with most offerings testing over 175 RFV. Several producers have yet to market any of their dairy quality hay. Market activity this week was slow on limited offerings. According to the drought monitor 100% of the state is in moderate drought or worse; 92.82% of the state is in an severe drought or worse, down 7.18% from last week. 68.91% of the state is in extreme drought or worse, down 0.77% from last
Friday, November 26, 2021
Tuesday, November 23, 2021
Hay Market Demand and Price Report for the Upper Midwest
Demand and Sales Comments
Prices are steady this week. Markets Western markets are reporting higher prices. If you have questions on this report contact richard.halopka@wisc.edu . If you need forage or have forage to sell or straw, connect to the Farmer-to-Farmer website. You may contact your local county agriculture educator if you need help placing an ad. There is no charge for the service.
Straw prices are for oat, barley, or wheat straw. Straw prices are steady with limited sales. Small square bales averaged $4.70 a bale (range of $3.25 to $6.00). Large square bale straw averaged $42.00 per bale (a range of $20.00 to $56.00). Large round bale straw averaged $36.00 per bale (range of $26.00 – $62.00).
In Nebraska, all forages sold steady with a good demand in the western areas. In Iowa, no report.
In South Dakota, prices were firm with very good demand for dairy quality hay. Cattlemen in drought areas have shipped or will ship weaned calves.
In Missouri, hay business is fairly slow; prices are steady with moderate supply and a light demand.
In Southwest Minnesota, no report. In Kansas, hay market prices were steady, but trades are slow.
In Wisconsin, prices are steady too strong for dairy quality hay.
Hay Markets: It was a crazy year
It was a trifecta of market movers that drove hay prices to record levels in 2021.
That trio of factors included drought, economic fallout from the COVID-19 lockdown, and a significant commodity price rally, according to Josh Callen who spoke at last week’s Western Alfalfa & Forage Symposium in Reno, Nev.
In evaluating the situation in California this year, the author of The Hoyt Report noted that many dairy operators in the Central Valley were resistant to pay high prices for hay. “Another thing that happened was extremely strong local markets in Idaho and Utah, which deterred growers in those states from shipping to California,” Callen said. “Lately, as winter approaches, we’re starting to see more purchases by California dairies for out-of-state hay. In some cases, I’m seeing prices in the $350 per ton range,” he added.
Although the price spread for Supreme hay is usually $80 to $100 between California and Idaho, this year it’s only been about $20 to $30, according to Callen who is based in Twin Falls, Idaho. “Lower quality hay in Idaho is up almost $100 per ton over the previous year,” he said. “That’s being driven by the beef ranchers who have run out of range grass to graze.”
Dryland timothy production in the Northwest during 2021 set record low yields, which was in sharp contrast to the previous year when record high yields were achieved. “The three-tie bales were about the same price as last year, but big bales were up quite a bit,” Callen said. “The retail timothy market has remained strong.”
The analyst also noted that the retail market for alfalfa has just recently shot up in the Imperial Valley of California. Buyers are now paying over $260 per ton for Premium quality hay destined for retail markets.
Hay exports
“The shipping situation is terrible,” Callen said. “It’s going to take time for this to sort itself out, but hay exporters are doing a pretty good job of working through this as hay exports are actually up 4% through September, which has largely been driven by China.”
Alfalfa demand from China has been high in 2021. “China is continuing to grow its dairy herd and making purchases of heifers out of Australia and New Zealand,” Callen said. “They need U.S. alfalfa, and the trade relationship has improved.”
In contrast to China, hay exports to the Middle East have dropped considerably. “They’ve really turned to Spain,” Callen noted.
Looking ahead
Callen said it’s difficult to know what is going to happen going forward. “There’s just a lot of economic uncertainty as it relates to inflation, interest rates, logistics, and spending.”
The analyst said that drought will have a big impact on hay markets going forward, especially in California. Recently, water conditions have improved in the Pacific Northwest.
Cow-calf producers are culling their herds and this will influence hay demand moving forward. A recent Farm Bureau survey of its members in the West showed that the average producer culled their herd by 30%, Callen noted.
“Given the current production situation in 2021, I don’t see hay prices changing too much, at least through spring,” he said. “I think there will continue to be resistance to buying on the dairy side, so I also don’t see a huge increase in price from where we are now.”
Callen noted that higher crop input prices, including water, will significantly raise what it costs to produce hay. The fertilizer price index is currently higher than it’s ever been. “Growers are going to be reluctant to give too much on their asking price simply because it costs so much more to produce product,” he said.
Monday, November 22, 2021
State-By-State Hay Summary
Colorado—In the Nov. 11 report, compared to last week, trade activity moderate on good demand for horse hay. Horse hay sold steady this period. Trade activity light on good demand for ranch and dairy hay. Trade inactive on all other hay markets. According to the NASS Colorado Crop Progress report for the week ending Nov. 7, fourth cutting alfalfa hay harvested is at 94 percent. Stored feed supplies are 10 percent very short, 27 percent short, 54 percent adequate, and 9 percent surplus.
Missouri—In the Nov. 12 report, compared to last report, a little bit of hay moving locally and some window shopping going on, but overall hay business in the state is fairly slow which is to be expected as the hay crop was good this year and most farmers are setting on decent supplies currently. The supply of hay is moderate and demand is light to moderate and prices mostly steady. Another week of riding the weather roller coaster after the frost late last week temperatures warmed back up to near short sleeve weather before the next front rolled in with highs reaching only the mid to upper 40s for the end of this week.
Nebraska—In the Nov. 4 report, compared to last week, hay sales in the eastern and central areas of the state sold steady. Alfalfa sales in the western areas sold $5 higher. Demand was moderate in the east and central with good demand for hay in the western areas. Light to moderate snow or rain in some areas of the state Nov. 1 has slowed fall harvest to a crawl or completely stopped. With warmer weather on the horizon farmers should be in the field later this week. Quite a lot of talk on baling cornstalks across the state when the fields dry. Next available report will be Nov. 18.
Oklahoma—In the Nov. 12 report, compared to the last report Oct. 29, not much has changed, hay remains steady for much of the state with good demand, while movement is beginning to raise. Feed cost are still high, which causes hay to remain the main feed resource for the producer. Milk prices are still low, dairies are continuing to move to cheaper feed rations. Dry conditions continue in most of the state according to the Mesonet. Due to limited sales and price changes this report will be released bi-weekly until more volume of hay is moving. Next report will be released Dec. 3.
Texas—In the Nov. 12 report, compared to the last report, hay prices are steady in all regions. Trading activity and demand were moderate. Hay is beginning to move more as producers are stocking up for winter. However, a lack of trucks and increased trucking prices have slowed down movement some. According to the U.S. Drought Monitor, in eastern Texas and Oklahoma widespread rain over a half inch fell this week. As a result, many areas from the Dallas-Fort Worth Metroplex and eastward along the Red River saw improvements to ongoing drought and dryness. Improvements also occurred in south Texas. In parts of southwest Texas that did not see rain, some worsening of drought conditions occurred, due to increasing precipitation deficits and lessening soil moisture. Due to limited sales and price changes this report will be released bi-weekly until more volume of hay is moving. Next report will be released Nov. 26.
New Mexico—In the Nov. 5 report, compared to last week, alfalfa prices steady. Beardless wheat steady on limited supplies. Trade moderate to active, demand good. The hay growing season is over. Cooler temperatures across the state as cold front moved in. This is the last report for the season. Reports will resume in April 2022.
South Dakota—In the Nov. 12 report, compared to last week, all classes of hay remain firm. Very good demand for all types of hay currently. Cattle producers are shipping and weaning calves, which is keeping demand for high quality calf starting hay in high demand. All supplies of hay are much tighter this year due to the devastating drought. Corn harvest finishing up across the state as ground conditions firmed up enough to get equipment into fields. Warmer than average weather late week and over the weekend have helped to stretch feed supplies. This week much colder weather returned with snow chance East River.
Wyoming—In the Nov. 4 report, compared to last week, all reported hay sold steady. Demand remains good throughout Wyoming and into Colorado where dairies have been buying some hay. Normal November weather across the state. Some producers are working on third cutting with other done with haying this season. Corn harvest is a lot slower going than last year and is nearly spot on with the 5-year average of 46% complete. Sugarbeets picked comes in at 91% compared to 84% for the 5 year average. Subsoil moisture for adequate is at 26% which is 10% better than same week last year. Next available report will be Nov. 18.
Montana—In the Nov. 1 report, compared to last week, hay sold fully steady. Demand for hay remains very good. A portion of ranchers continue to search for hay however this has started to slow. Limited sales were seen this week. Hay continues to sell out of neighboring states and Canada; delivered prices for these offerings continue to be $285-$325. Producers are starting to market dairy quality hay. Initial asking prices are $350-$375 per ton with most offerings testing over 175 RFV. Several producers have yet to market any of their dairy quality hay. Market activity this week was slow on limited offerings. According to the drought monitor 100% of the state is in moderate drought or worse; 100% of the state is in an severe drought or worse both unchanged from last week. 69.68% of the state is in extreme drought or worse, steady from last week. 22.25% of the state is in an exceptional drought down 0.34% from last week.
Friday, November 19, 2021
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