Hay Market Snapshot

Pacific Northwest Hay harvest and trade slowed significantly in June due to persisting rains. Rain damage was extensive and impacted nearly all of the area’s first cutting.
Quarterly Northwest Farm Credit Services updates more than 15 different commodities through their Market Snapshots. Northwest FCS Vice President of Market Research and Development Michael Stolp shares additional details from the most recent the hay Market Snapshot.
Stolp: “Northwest hay prices may increase in 2013 due to tight supplies, but the market outlook is uncertain. Old crop hay stocks were at near record lows ahead of first cutting, with high-quality alfalfa in particularly short supply. Given early season production challenges and limited acreage increases, this situation is likely to continue. First cutting alfalfa was challenging in the Northwest with untimely and frequent rains. Crop damage was widespread across the region. Limited hay supplies are expected to establish a solid price floor in the hay market. However, tepid demand from Northwest exporters and marginal dairy industry profitability may limit hay price increases.”
Columbia Basin hay grower Dan Miller shares what he sees in his area
Miller: “First cutting was a little rough, with a lot of rain but people are finishing up first cutting Timothy on the Royal Slope and moving on to second cutting of Alfalfa. Some has been put up and it looks really nice compared to the bad spring we had with first cutting.”