Monday, June 23, 2025

Regional Hay Prices





State-By-State Hay Summary

Colorado—In the June 12 report, compared to last report, trade activity and demand light. No market trend available due to a lack of comparable trades. Farmers continue to wait for hay stands to dry up so they can put first cutting down in areas that received rain, with higher elevation hay stands 1 to 2 weeks out. Due to the federal holiday, the next available report will be June 20.

Missouri—In the June 12 report, compared to last report, starting to see some new crop hay come to market. Demand is light as pastures in the state are some of the best in the nation with 88% rated good to excellent. Hay prices are steady to weak. The supply of hay is moderate, and demand is light to moderate. Producers are getting some hay baled as small windows of weather allow. Thus far there has not been any extended periods of days in which farmers can just go without having to look at weather and calculate if the risk of getting hay wet is worth it or not. 

Nebraska—In the June 5 report, compared to last report, bales of alfalfa and grass hay sold steady. Ground and delivered hay in the Platte Valley of the state sold $5 higher with all other areas trading steady. Dehydrated and sun-cured alfalfa pellets sold steady. Demand was moderate at best this week as rain showers have moved through and dispersed across most of the state. Some reports on first cutting alfalfa in the east, roughly 30% less than normal years tonnage due to dry weather and weevils. Most contacts in the central and west are still waiting to knock down first cutting of alfalfa and many think they are roughly 2 weeks behind normal cutting situations. Next report will be released June 20.

Oklahoma—In the June 6 report, compared to last report, the prices for new hay are still unknown, and demand is at a standstill. Rain continuously covers Oklahoma, preventing hay producers from moving hay and, at times, stopping hay from being harvested. The continued preparation for the new crop of grass hay is underway as well. Next report will be released June 20.

Texas—In the June 13 report, compared to last report, hay prices are mostly steady across all regions with light demand. The next available hay report will be June 27.

South Dakota—In the June 6 report, compared to last report, few reported sales this week, steady undertones. Moderate demand for old crop hay, good demand for straw and corn stalks to bed confinement barns. First cutting of alfalfa was difficult to put up between the rains and the cooler weather, it warmed up early in the week, but it was hard to get hay to fully dry and cure. Warmer weather in the forecast next week. There is still quite a bit of old crop hay around as the winter was mild and open. Good rains across the state the last few weeks have greatly improved the grazing outlook as it was rather grim looking two weeks ago. Next report will be released June 20.

New Mexico—In the June 13 report, compared to last report, hay market mostly steady to firm with third cuttings are underway. 

Wyoming—In the June 12 report, compared to the last report, hay sales sold steady. Demand was mostly light. Some producers in the eastern side of the state lost all their first cutting of alfalfa to large hail and wind. With others having some damage from storms. Other reports of the dreaded weevil doing quite a lot of damage along with irrigation districts curtailing water amounts early in the growing season will cost producers quite a few tons of product. Some reports in the east that tonnage is about 30 percent less than a normal year. Producers in the central and west are just getting started with first cutting and so far, tonnage will be close to a normal year. Little carry over from previous year, but nothing like the tonnage that hay producers dealt with on the 2024 production year.

Montana—In the June 6 report, compared to last report, hay sold generally steady. Very little hay is moving as most are waiting on first cutting to be put up. Ranchers are already reaching out to producers to purchase hay, with some making offerings to buy. Offers have been well received but many are passing as they wait for the market to develop. Most ranchers have cattle turned out and hay usage is down significantly as a result, however with dry conditions noted across many portions of the state ranchers have stated without rain many will begin to feed as early as the middle of July. One large hay contract was established this week. Several sales of hay continue to sell to out of state buyers as dry conditions continue in Wyoming. Some producers in southern and eastern Montana have first cutting on the ground. Some hay was put up last week before any rain was seen, however most producers opted to wait till this week as weather conditions were more favorable for putting up high quality hay. Producers in central Montana report that first cutting is still a few weeks out as most hope to get started buy the middle to the end of June depending on elevation. Producers are expecting a bumper first cutting across much of the central portions of the state where rainfall totals have been the heaviest. Market activity was mostly slow this week.




Montana Direct Hay Report





Wednesday, June 18, 2025

Lackluster demand for hay

Hay prices in the West are stable. Markets remain sluggish, especially in areas dependent on hay exports. China, the second-largest destination for U.S. hay exports, has reduced its imports amid ongoing tariff negotiations between the two countries.

Arizona - Current conditions support moderate trade activity and steady prices across the state. Of particular note, pasture conditions in Arizona have drastically declined, with 85% of pastures now rated as poor or very poor. In comparison, only 13% of acres were in the same condition at this time last year. This significant deterioration has contributed to decreased on-farm hay stocks. May 1 stocks fell to 30,000 tons compared to 50,000 tons the previous year. Persistent dryness and worsening drought conditions are expected to continue to drive increased regional demand for hay and feed. While rainfall is anticipated in early June, an unusual event for this region, it will neither be sufficient to alleviate ongoing drought challenges nor revive non-irrigated pastures and alfalfa stands.

Arizona’s Attorney General is seeking to restrict groundwater pumping by a foreign-owned alfalfa operation, arguing that its groundwater use in the Ranegras Basin constitutes a public nuisance by depleting the aquifer, affecting local wells. This legal action has sparked concern among agricultural producers regarding the broader implications for groundwater management. Several agricultural groups oppose the lawsuit, expressing concern that it could set a precedent for stricter groundwater regulations across the state. This case is particularly significant as it marks the first time Arizona has used public nuisance law to challenge agricultural water usage. The Attorney General concedes that no existing groundwater regulations are being violated by the defendant; however, they maintain that there are clear adverse impacts from their heavy pumping, hence the public nuisance legal route.

California – Domestic hay demand in California has remained steady, while export demand continues to be light. Hay prices have been trading on the lower end of the price range, a trend partly attributed to declining hay quality. Despite this, on-farm hay stocks saw a notable increase, reaching 330,000 tons on May 1, a gain of 70,000 tons from the previous year. With reduced export activity, hay producers have noted that securing transportation has been easier, and freight rates have dropped as a result. Central Valley Project water districts serving Fresno, Tulare and Kings County have received a 5% increase to their water allocations based on current reservoir levels.

Idaho – Idaho’s hay market has been moving at a slower pace as first cutting continues. As of June 8, alfalfa cutting was 38% complete, ahead of the five-year average. Most of the crop is reported to be in good condition. However, in the Magic Valley, there has been an increase in alfalfa being chopped for haylage, driven by concerns about hay quality following rains. Over the past six months, Idaho dairies have expanded their herds by 17,000 cows, yet hay purchases by dairies remain sluggish across the state. Despite these developments, hay prices have remained steady, with supreme and premium hay trading $5 lower than the previous year.

Montana – Despite drought conditions in Montana, the hay market has been slow. Demand for hay has remained light, with most sales heading out of state since Montana cattle are already out to pasture. Pasture conditions have deteriorated significantly, with 51% rated as poor or very poor by June 8, a sharp increase from 18% in the same conditions a year ago. Meanwhile, in eastern Montana, producers have begun their first hay cuttings. Central Montana remains hopeful May rainfall could boost their first harvest, which is still a few weeks away. Though the season is gaining momentum, new crop prices have yet to be set.

Oregon – In Oregon, 80% of the first hay cutting is complete, aligning with the five-year average but slightly trailing last year’s pace. Hay demand is expected to rise among cattle producers in eastern Oregon due to extensive pasture damage caused by wildfires in 2024. This increased need may also explain why May 1 on-farm hay stocks dropped 50% from the previous year, totaling 280,000 tons.

Washington – First cutting is underway, with 73% of fields completed, ahead of the five-year average. However, new crop trading has been sluggish, with volumes well below typical levels for June. This downturn is largely due to ongoing tariff issues, which have reduced export demand, particularly from China, the second-largest buyer of hay. Compounding the issue, rain has affected the quality of the first cutting, creating additional challenges for sales. Even growers with higher-quality hay are struggling to find buyers and may opt to hold off on selling. While alfalfa export demand remains weak, timothy hay is showing stronger promise for export opportunities in the months ahead.  


Profitability

June 18, 2025

Hay (Alfalfa): Breakeven profitability Neutral 12-month outlook
Hay (Timothy): Breakeven profitability Neutral 12-month outlook


Slow exports and sluggish domestic demand have kept alfalfa prices low, posing challenges to profitability.

Exporters' increasing interest in timothy hay could boost grower profitability.





Producers Monthly Hay Auction - Greeley, CO