Grinding hay demand still low

Hay bales (Journal photo by Lacey Newlin)

Demand is still low for grinding hay, but seems to be high for dairy quality hay moving out of state, according to the Kansas Department of Agriculture-USDA Market News Service, June 18.

Alfalfa hay prices continue to weaken with old crop grinding hay and dairy quality hay falling in the southwest, south-central, and north central/northeast regions. New crop pricing for alfalfa is still slow to be reported, but of those prices that have been received, are all over the map as many factors come into play including drought, carry-over, cash flow, barn space and yield. In addition, high quantities of chopped triticale are being used in place of alfalfa. Next report will be released July 2.

Southwest—Demand low. Trade activity is slow to moderate. Dairy alfalfa prices are .10/pt lower. Grinding alfalfa price steady and ground and delivered alfalfa price $5 lower. Alfalfa: Dairy, $1.20-$1.30/point RFV. Fair/good, old crop grinding alfalfa, large rounds, $110-$120, new crop, $100-$120, old crop large 3×4 and 4×4 squares, $110-$120, new crop $110-$120. Ground and delivered locally to feed lots and dairies, $155-$170. Triticale baleage, $34-$44. For the week ending June 15, 9,305 tons of grinding alfalfa and 100 tons of dairy alfalfa was reported bought or sold. The average paid by feedlots on June 1 for alfalfa ground and delivered was $208.71, down $9.67 from the previous month. Usage was 589 tons/day, up 16% from last month and total usage was 18,269 tons.

South central—Demand low. Trade activity is slow. Dairy alfalfa prices .10/pt lower. Old crop grinding alfalfa $5 lower, ground and delivered $20 lower, and alfalfa pellet price all steady to $5 lower. Alfalfa: Dairy $1.20-$1.30/point RFV. Fair/good old crop grinding alfalfa, large rounds, $125–$135 delivered, new crop, $120-$130 delivered, old crop 3×4 and 4×4 squares, $130-$140 delivered, new crop $120-$130 delivered. Alfalfa ground and delivered, $150-$165. Sun-cured alfalfa pellets, 15% protein, $265-$270, 17% protein, $275-$280, dehydrated 17% protein, $385-$400. Bluestem grass hay, large rounds and large squares, $125-$130. For the week ending Jun e15, 4,296 tons of grinding alfalfa and 850 tons of dairy alfalfa was reported bought or sold. The average paid by feedlots on June 1 for alfalfa ground and delivered was $179.50, down $12.61 from the previous month. Usage was 245 tons per day, up 16% from last month and total usage was 7,591 tons.

Southeast—Demand low. Trade activity is slow. Bluestem and brome hay price steady. Bluestem grass hay, small squares, $200, large rounds, $130-$140, large 3×4 and 4×4 squares, $150-$170. Brome, small squares, $200-$205. For the week ending June 15, 232 tons of grass hay was reported bought or sold.

Northwest—Demand low. Trade activity is slow. Grinding alfalfa prices are steady. Horse alfalfa, small squares, $13.25/bale. Dairy, Alfalfa fair/good old crop, 3×3 squares, $120. Fair/good grinding alfalfa, $100.

North central/northeast—Demand low. Trade activity is slow. Dairy alfalfa .10/pt lower, grinding alfalfa $20 lower, ground and delivered $20 lower, and grass hay steady. Alfalfa: Dairy $1.20-$1.30/point RFV. Premium horse hay, small squares, $13/bale. Old crop fair/good grinding alfalfa, large rounds, $110-$120. Old crop alfalfa ground and delivered, $150-$180. Bluestem grass hay, small squares, $8-$9/bale, large rounds, $125-130, large 3×4 and 4×4 squares, $130-$135/ton. Brome, old crop small squares, $10-$14/bale, large rounds, $95-$100/bale. Wheat straw, large rounds, $60-$70. For the week ending June 15, 496 tons of grinding alfalfa and 436.50 tons of dairy alfalfa was reported bought or sold.

Source: Kansas Department of Agriculture-USDA Market News Service, Manhattan, Kansas.