Hay demand remains low, alfalfa prices sinking
Compared to the last report, demand remains low, and alfalfa prices are headed downward in a hurry, especially in the southwest and south-central regions, according to the Kansas Department of Agriculture-USDA Market News Service, Jan. 30.
Late last fall and early winter, producers figured prices would go back up after the first of the year, but we have not seen that happen, the opposite has occurred. Pellet mills, feed yards and grinders are still not in a buying mood and will be looking for rock bottom prices on alfalfa when they decide to buy. With the hay they have on hand and all the other feeds stuffs out there, most buyers indicate that they are bought up till nearly new crop. Grass hay, however, has continued to be a hot commodity, retaining its value and most all grass has been bought or spoke for. Prices are based on averages and given on a per-ton basis, unless otherwise noted.
Southwest:
Dairy alfalfa, ground and delivered steady, grinding alfalfa $5 lower; movement slow. Alfalfa: Dairy, 1.35-1.45/point RFV. Good stock or dry cow, $235-$245. Fair/good grinding alfalfa, large rounds, $175-$185, large 3×4 and 4×4 squares, $175-$185. Ground and delivered locally to feed lots and dairies, $215-$225. Sun-cured alfalfa pellets, 15% protein, $315-$325, 17% protein, $325-$335. Bluestem grass hay, small squares, $8/bale, bluestem CRP large rounds, $75/ton. Corn stalks, rounds and 3×4 squares, $90-$100. For the week ending Jan. 27, 4,826 tons of grinding alfalfa and 350 tons of dairy alfalfa was reported bought or sold.
South central:
Alfalfa pellets steady, dairy alfalfa $0.05/point RFV lower, ground and delivered $5 lower, grinding alfalfa $ lower; movement slow. Horse alfalfa, small squares, $13/bale; Dairy 1.35-1.45/point RFV. Good stock cow, $225-$235. Fair/good grinding alfalfa, large rounds, $180–$190 delivered, 3×4 and 4×4 squares, $180-$190 delivered. Alfalfa ground and delivered, $215-$225. Sun-cured alfalfa pellets, 15% protein, $300-$310, 17% protein, $305-$315, dehydrated 17% protein, $400-$405. Bluestem grass hay, small squares, $200, large rounds, $100-$120. Sudan, large rounds, $80-$90. For the week ending Jan. 27, 10,097.5 tons of grinding alfalfa and 96 tons of dairy alfalfa was reported bought or sold. Although there was an increase in grinding alfalfa trades, this was due to two large hay sales and is not indicative of increased hay movement for the region. Hay sales for this region remain quite slow.
Southeast:
Dairy alfalfa $0.05/point RFV lower, Grass hay mostly steady; movement slow. Alfalfa: Dairy 1.35-1.45/point RFV. Good stock cow, $245-$255 delivered. Bluestem grass hay, small squares, $200-$205, large rounds, $140-$150, large 3×4 and 4×4 squares, $180-$190. Brome, small squares, $200-$205, large 3×4 and 4×4 squares, $180-$200. For the week ending Jan. 27, 1,430.5 tons of grass hay was reported bought or sold.
Northwest:
Dairy alfalfa, grinding alfalfa, steady, movement slow. Horse alfalfa, small squares, $12/bale. Dairy, Premium/Supreme 1.40-1.50/point RFV. Stock cow, good, $200-$230. Good alfalfa, 3×3 squares, $200, premium, 3×3 squares, $300. Fair/good grinding alfalfa, $180-$200. Sudan, weedy, large rounds, $85-$95, delivered.
North central/northeast:
Dairy alfalfa, ground and delivered and grass hay mostly steady, grinding alfalfa $10 lower; movement slow. Alfalfa: Dairy 1.40-1.50/point RFV. Fair/good, grinding alfalfa, large 3×4 squares, $200-$210. Alfalfa ground and delivered, $240-$250. Bluestem grass hay, small squares, $7-$8/bale, large rounds, $140-$150, large 3×4 and 4×4 squares, $175-$185. Brome, large rounds, $160-$170, large 3×4 and 4×4 squares, $190-$200. Milo stalks, $75-$85. For the week ending Jan. 27, 351 tons of grinding alfalfa and 442 tons of dairy alfalfa was reported bought or sold.
Source: Kansas Department of Agriculture-USDA Market News Service, Manhattan, Kansas.
