Demand light despite weather, prices still mostly steady

This past week, demand remains light, despite the winter weather and prices remain mostly steady, according to the Kansas Department of Agriculture-USDA Market News Service, Jan. 14.

Previously purchased hay has been moving, when drivers can move it on the ice and snow packed roads. Some folks have reported that they need to buy grinder hay, but many producers are holding on to their supplies hoping for higher prices. The supply of hay available remains heavy as almost all contributors indicated that there is still 2023 and 2024 hay sitting around. Prices are based on averages and given on a per-ton basis, unless otherwise noted.

The National Agricultural Statistics Service released their 2024 Annual Crop Production Summary. According to NASS Alfalfa hay production, at 1.54 million tons, is down 31% from a year earlier. The average yield, at 2.65 tons per acre, is down 0.40 ton per acre from 2023. Area harvested, at 580,000 acres, is down 21% from 2023. Alfalfa for haylage and greenchop production, at 150,000 tons, is up 355% from last year. Average yield at 6 tons per acre, is up 3.80 tons from last year. Area harvested, at 25,000 acres, is up 10,000 from last year. Seedings of alfalfa during 2024 totaled 50,000 acres, down 40,000 acres from the year earlier. 

Southwest—Demand light. Trade activity is slow to moderate. Dairy alfalfa steady, ground and delivered price mostly steady, grinding alfalfa $5-$10 lower. Alfalfa: Dairy, $1.05-$1.15/point RFV. Good stock or dry cow, $115-$125. Fair/good, grinding alfalfa, large rounds, $95-$100, large squares, $95-110. Ground and delivered locally to feed lots and dairies, $140-$150. For the week ending Jan. 11, it was reported 8,554.5 tons of grinding alfalfa and 50 tons of dairy alfalfa was bought or sold. The average paid by feedlots on Jan. 1 for alfalfa ground and delivered was $152.14, down $0.41 from the previous month. Usage was 588 tons/day, up 10.5% from last month and total usage was 18,227 tons.

South central—Demand light. Trade activity is slow. Dairy alfalfa, grinding alfalfa, ground and delivered and alfalfa pellet price, steady. Alfalfa: Dairy $1-$1.10/point RFV. Good stock cow, $100-$120. Fair/good grinding alfalfa, large rounds $100–$110 delivered, 3×4 and 4×4 squares, $100-$110 delivered. Alfalfa ground and delivered, $135-$145. Sun cured alfalfa pellets, 15% protein, $220-$225, 17% protein, $230-$235, 17% dehydrated, $350. Brome, large rounds, $100-$110. For the week ending Jan. 11, it was reported 6,506 tons of grinding alfalfa and no dairy alfalfa was bought or sold. The average paid by feedlots on Jan. 1 for alfalfa ground and delivered was $147.98, up $4.58 from the previous month. Usage was 231 tons/day, virtually the same as last month and total usage was 7,158 tons.

Southeast—Demand light. Trade activity is slow. Dairy Alfalfa and brome hay price, steady; bluestem $10-$15 lower. Dairy, $1.05-$1.10/point RFV. Fair/good grinding alfalfa, large squares, $115-$125. Bluestem grass hay, small squares, $160-$180, large round, $85-$100, 3×4 and 4×4 squares, $95-$110. Brome, small squares, $6-$10/bale, large rounds, $100-$110, large 3×4 and 4×4 squares, $125-$135. Wheat straw, large squares, $70. For the week ending Jan. 11, it was reported 1,599 tons of grass hay was reported bought or sold.

Northwest—Little to no demand. Trade activity is slow. Horse alfalfa, $175-$185. Fair/good grinding alfalfa, large rounds and squares, $90-$100.

North central/northeast—Demand light. Trade activity is slow. Dairy alfalfa price, ground and delivered and grass hay all steady. Grinding alfalfa mostly steady. Alfalfa: Dairy $1.10-$1.20/point RFV. Horse or alfalfa, small squares, $12/bale. Good stock cow, $145-$155; Fair/good, grinding alfalfa, large rounds, $90-$100, large 3×4 and 4×4 squares, $115-$120. Alfalfa ground and delivered, $135-$145. Bluestem grass hay, small squares, $8-$9/bale, large rounds, $80-$100, large squares, $110-$120. Brome, small squares, $9-$10/bale, large 3×4 and 4×4 squares, $130 delivered. For the week ending Jan. 11, it was reported 419 tons of grinding alfalfa and 50 tons of dairy alfalfa was reported bought or sold.

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