Feed market: Stable prices, but drought approaching

The corona crisis could have caused problems on various levels. For example, there was talk of a possible drop in the supply of straw, but this did not occur. The price of spent grain and the supply of feed potatoes also seemed to be in dire straits for a while, but that did not happen either. How is that possible? Probably a matter of timing.

Straw price and supply
The straw price remains stable this week at €100 per tonne (free of charge). A few weeks ago, this seemed to be changing due to the corona crisis. People spoke of problems with transport and at the border in France, but this was not reflected in the Dutch market. In addition, more straw came across the border from Germany. So there was no shortage.

This may change in the coming months. Due to the drought, the wheat does not grow in length, even though ear formation is already in progress. This means very short straw, which will most likely affect the supply. However, the past few months have clearly shown that the best-substantiated rumors do not necessarily become reality.

Grass, potatoes and drought
Speaking of good timing, that seems to have a 'favorable' effect on the combination of grass, drought and feed potatoes. The first cut has now been ensiled in many places in the country, but due to the drought the yield is not optimal everywhere. Some (dairy) farmers therefore choose to silage or dump feed potatoes to supplement the ration. If the first cut had been reported earlier, this would probably not have been possible because the supply of potatoes 2 weeks ago was minimal due to the lack of clarity surrounding the scheme that has now been introduced.

The prices of the products therefore remain stable. The traders report that they actually have little control over the first cut of grass. Sales are often between dairy farmers, often for a very high price. The grass that traders can obtain sells for an average of €60 per tonne, unchanged from previous weeks. This is not about good quality first cut, but mainly about (possibly) wetter autumn pits.

The price of feed potatoes also remains stable. This costs €30 per ton, delivered unwashed to the farmer's yard. The supply of potatoes is still more than sufficient and the demand is well matched.

Corn and spent grain
Although both of these prices remain the same, there is still a chance that the price will change in the coming weeks. Traders indicate that dairy farmers are starting to worry about their corn yields if the drought continues. A few good splashes of water are more than welcome in the coming weeks and will probably provide reassurance. For now, the price remains at €70 per tonne.

The spent grain price is currently still partly influenced by the corona crisis, as the catering industry is still closed. The price remains at an average of €2,75, with €2,70 for the south and €2,85 for the north. It now seems that the catering industry will partly open again on June 1, but it remains to be seen whether this will have an effect on the price. Given the drought, dairy farmers are feeding more, which means that the demand for spent grain is good.

The other roughage products also all remain stable in price. Click here for current prices.