Little demand for silage maize due to expensive phosphate rights

The market expected that the silage maize price would become extremely high in the coming months. This expectation was based on the consequences of the extremely dry summer. Although the silage maize price recently rose rapidly to €75 per tonne, the price has now returned to the 'old level' of €55 to €65 per tonne free at the farm.

Short on cash
The reason why the price has dropped is because livestock farmers are cautious about building up stocks. This cautious attitude is fueled by the high farm gate price; Moreover, the levels were still unclear. The dried corn often had low starch levels. 

However, this is not the only reason why the purchase is being postponed. Relatively many companies have a lack of liquid assets due to the purchase of (expensive) phosphate rights. The bills of contractors must also be paid during this period of the year; for example for overseeding grass due to drought damage.  

Price increase in prospect
According to traders, there is still some trade in late-harvested maize, which is about €7 to €8 per ton more expensive than silage maize. Traders expect more demand in February/March, because in many cases the silage maize will be gone. By then, a price increase is also likely to be in store. 

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Pasture hay and ryegrass expensive
The price for meadow hay remains stable at a high level of approximately €200 per tonne, with peaks of €220 to €230 per tonne. The fact that the price remains at such a high level is because there is a lot of demand from abroad. For example, the Scandinavian countries are suffering from a roughage shortage as a result of the drought. 

As a result, the price of perennial ryegrass is still high: €155 per tonne. However, there is little demand at the moment. Arable farmers are holding on to ryegrass as they hint at higher price levels. 

Buy as little straw as possible
Due to the disappointing European wheat harvest, straw is scarce. At the same time there is a lot of demand. Currently €130 to €145 per tonne is paid, which is considerably higher than in other years. Livestock farmers therefore limit purchases to the minimum. 

The silage trade continues quietly. There is generally enough grass in the north of the Netherlands. From there, freight is transported to the South of the Netherlands. On average, the price for grass silage is €58 per tonne, delivered to the farm. The supply sometimes comes loose when livestock farmers retire. 

Beer spent grain price is rising
The price of spent grain varies considerably between the north and south of the Netherlands. In the south, €2,50 to €2,60 per percent dry matter is paid. In the north the price is €2,70 per percent dry matter, due to transport costs. The underlying trend shows an increase.  

There is currently virtually no trade in red fescue, tall fescue and meadow meadow. Feed potatoes are simply too expensive to use as feed, which is why there is virtually no trade in feed potatoes.