Western Hay Market Update
Like many commodities, the hay market hasn’t had a great 2020 so far. Here’s Josh Callen of The Hoyt Report which covers alfalfa and forage markets.
Callen… “The markets kind of began falling probably around the 1st of April, and it feels like this last week it was more stable than it had been in the past. So I think we've kind of hit the bottom. Obviously the dairy markets have been rallying the last two weeks or so, and with some of the tactics, the days are using to reduce production. And with more restaurants and things opening back up it's definitely helping. One bright side in the hay market has been the export side. There's been really good demand overseas, and so that's helped certainly in the areas that are a little more export heavy. But, I think it'll probably be later in the year before we see much movement in a much more much recovery. And it really just kind of depends on the dairies - the type of situation they're in.”
The markets are optimistic, but many western hay growers caught an untimely rain just before they could bale their first cutting.
Callen… “Yeah, so first cutting actually started last week and Idaho, Washington, Tri-Cities, Western Nevada, the Falon area. They started putting hay down probably about 10 days ago, and some guys were able to get hay baled before the rain hit. But this rainstorm has been pretty widespread across the West and I know it has put a damper on some guys that have hay down.”
Hopefully dairy and other commodity market gains will be friendly hay prices going forward.