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Inside Forage

Run or stand still on a difficult straw market

10 August 2021 - Jurphaas Lugtenburg

The weather is very decisive for what happens on the roughage market. Especially in the straw it is hollow or stagnant and meadow and grass seed hay is also gradually coming onto the market. The rain makes (logistical) planning difficult. Leaving a clamp on the head end in a shower does not benefit the quality.

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The straw trade is difficult. Normally there is a significant peak in supply around this time and plenty of loading takes place on land. Now it is mainly stealing to press and load straw. Arable farmers also opt for chopping more often. Those who drop the straw, but have their own storage, fill it up first. Partly because they don't want to wait for trucks with rain on the way, but also because they expect prices to rise a little further into the season. That has happened in the past few years.

Doubtful mood
The DCA Indicative Price for wheat straw remains at €120 per tonne. The mood is anything but settled. When the weather becomes more stable, the price may drop somewhat, according to traders. If the weather continues to be bad, an additional €5 or €10 can be added.

Harvesting grass seed hay is also a challenge. Rain often fell during mowing and threshing. The hay must first be shaken and it remains to be seen what the quality will be on the plots that are still there. The DCA Indication Price for tall fescue, meadow meadow and English rye remains at €120 per tonne. Red fescue is more expensive at €135 per tonne. Traders do notice that there is less demand than last year.

Little extra hay
Meadow hay remains in reasonably good demand. In addition to the usual sales to horse farming, some traders are also seeing interest from livestock farmers. Farmers who have not been able to make hay themselves are now sending in a load for the calves, for example. New supply of meadow hay is not available. The DCA Indicative Price this week is €175 per tonne, €5 higher than last week.

The silage trade remains at a low level. Demand is limited, while livestock farmers are cautiously inquiring whether there is any interest in silage, for example to empty the silo for the autumn cuts. For good silage grass that is suitable for goats, traders quote prices of around €60 per tonne, but with the comment that there is little trade.

Expensive raw materials
Supply and demand of by-products remain nicely balanced. Due to the rising prices of soy and other simple (protein) raw materials, spent grain, for example, remains worth buying at €2,65. The supply of potato by-products is declining somewhat. Processors are in the transition phase from the old to the new harvest. Several factories are already in their summer break or will be shutting down soon. Partly because of this, feed potatoes are only available in very limited supply, occasionally a load. Prices are around €40 per tonne.

Silage maize is in good condition in large parts of the Netherlands, especially in the south. The picture is somewhat mixed in Friesland and Groningen. Plots sown late are generally poor. Demand for corn is quiet according to most traders. There are buyers for good silage maize, but traders do notice that livestock farmers prefer to feed grass in their rations rather than buying relatively expensive maize. The DCA Indicative Price remains at €70 per tonne.

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