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Analysis Forage

Drought also affects the roughage market

10 May 2022 - Jurphaas Lugtenburg

The mood on the roughage market is slowly shifting. The relatively dry weather is the main cause of this. The changing sentiment does not directly lead to more trade, but according to various insiders, livestock farmers do inquire more about what is available.

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The part of the livestock farmers that has plenty of feed stock is very careful when it comes to offering it. No significant rain is forecast for the next fourteen days and they want to wait and see how the season develops. On the other hand, livestock farmers who are on the lean side in the feed are inquiring more in recent days about what is available and at what price.

Good silage is only available to a limited extent. The grass of lesser quality is better to get. It is still quiet on the demand side, but some traders are noticing that more information is being given about grass silage. It mainly remains with information and not much extra is actually bought. The DCA Indication Price has increased compared to last week to €75 per tonne for good silage.

Just like grass silage, silage is difficult to find at the moment. Livestock farmers are not eager to sell. Many farmers first want to see how the growing season develops and make sure that they will not run out at the end of the season. The DCA Indication Price remains the same as last week at €80 per tonne.

Demand for by-products remains good
The market for by-products and residual products is searching. The waiting times for spent grains have been eliminated at most suppliers, but demand remains good, especially for this time of year. What becomes available quickly finds a destination and various livestock farmers build up a stock. The DCA Indication Price remains the same at €3,55 per percent dry matter. The availability of feed potatoes is not enough. Potato prices have risen sharply and the processing industry can use a lot of potatoes. Also the parties that would be rejected in years with more supply. The DCA Indication price of feed potatoes is €45 per ton, as far as decent potatoes are available.

The trade in meadow hay is very quiet. Where more information is given about silage, this is hardly the case with meadow hay. Fixed trading continues, but there is practically no extra demand. The DCA Indication Price remains at €185 per tonne. The demand for grass seed hay is increasing slightly, according to some traders. Arable farmers with still grass seed hay in the barn want to get rid of that by now. Prices are therefore under some pressure despite the increased demand and range from €130 per tonne for ryegrass to €140 for reed fescue. The straw trade continues at a steady pace. The price is around €125 to €130 per tonne for both wheat and barley straw.

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