A small end-of-year sprint is currently underway in the feed market, with a particular demand for silage maize, silage and potato products. Has this already had an effect on prices?
The smaller dairy farmers have started the so-called 'end-of-year sprint'. According to a forage trader, they usually purchase little, because they are often self-sufficient. However, the dry weather of last summer has seriously decimated the stock. These livestock farmers now have to purchase additional roughage.
It results in a small 'end-of-year sprint'. The sprint is smaller this year than in other years, mainly because the larger dairy farmers are not purchasing extra. They have recently purchased sufficient feed and will probably see it until March 2019. This is a concern also that only few price changes are visible.
Straw prices remain stable
The price for both wheat and barley straw remains at €140 per tonne, free of charge. On the other hand, the top of the price range shows a slight increase this week; Good quality is now paid €155 per ton, free of charge, while previously it was around €150 per ton, free of charge.
The price for meadow hay also remains stable this week and is once again trading at €240 per tonne, free of charge. This does involve good quality, but with poorer quality the price quickly drops to €220 to €230 per tonne, free of charge. In addition, it is expected that the price will not show many changes in the coming period.
Perennial ryegrass tall, but stable
The price of perennial ryegrass remains stable at €160 per tonne free at farm; there is little else happening in the market. This does not apply to the trade in silage. There is more demand and the product seems to be becoming more popular again. It does not immediately cause a price increase, because the price remains at €50 per ton, free of charge. The traders indicate that it remains difficult to give an estimate, as the price is very dependent on the quality.
The price for spent grain did not hold up at the start of the cautious sprint. The price shows a downward movement this week to €2,65 per percent dry matter. Various traders indicate that the market has become somewhat more difficult.
Some feed potatoes on the market again
Forage traders report that potato press fibers are difficult to obtain, while demand is reasonable. The price was recently set at €44 per tonne. There is also a demand for (and supply of) feed potatoes. However, this mainly concerns glass potatoes, which have a short shelf life and should preferably be processed within 14 days. The price for these potatoes is €35 per ton, free at the farm.
There is little trade in meadow meadow, so the price remains at €155 per tonne, free of charge. In addition, both red and tall fescue show a minimal price increase; up to €170 per tonne free at farm. There is therefore more demand for this product. Also silage corn is in demand, but the price has not (yet) risen. This amounts to €65 per tonne, free of charge.
High purchase price
In any case, what the forage traders agree on is that prices are particularly high this year. According to some, this also has to do with the high prices abroad. This makes it more expensive to purchase the product. In combination with the transport costs, this means that livestock farmers in the Netherlands have to pay more than is usually the case.