The roughage market remains somewhat tense for this time of year. Good grass silage quickly finds buyers despite a generally good first cut. Demand for maize also remains, although there are major differences between traders. In the case of by-products, the picture is somewhat less clear.
It is difficult to get information about what is happening in silage at the moment. The first cut has largely been received and yields and levels appear to be good. It could be a little warmer for the regrowth of the grass, but there is sufficient moisture and the grass will grow, insiders say. It is still too early for this season's silage trade. Some bales are purchased or a few traders have an option on a pit for later this season. Prices are comparable or slightly higher than this time last year. For direct delivery - insofar as business is done there - it is still silage from the old harvest that counts. There is little supply, but prices are under some pressure with the new grass on the way. The DCA Indicative Price for good silage this week amounts to €90 per tonne.
The market for by-products gives some contradictory signals. The international grain markets have taken a step up in recent days, but this is not (yet) reflected across the board in prices for by-products. This may be due to the fact that around this time the seasonal demand for by-products from dairy farming is usually somewhat smaller. The DCA Indicative Price for spent grain takes a step back this week and amounts to €3,75 per percent dry matter. Potato by-products remain on the scarce side. The potato processing industry is careful with the raw material and this is noticeable in the residual flows. Feed potatoes remain difficult to obtain and the DCA Indicative Price remains at €60 per tonne.
Good question
The corn trade is going in fits and starts. Suddenly there is a peak and you have to work to get everything done and a few days later it can just be quiet again, according to a trader. It is also a matter of searching for good silage maize and once the maize has been delivered, discussions about quality are no exception. The DCA Indicative Price for silage maize remains relatively high at €115 per tonne.
Hay and straw remain in good demand at this time of year. Straw is still available, but some traders notice that sellers are still trying to raise the price. The DCA Indicative Price for both wheat and barley straw is €145 per tonne. Normally it doesn't take that long now before new meadow hay comes onto the market. Yet demand remains good, although mainly from horse farming. The DCA Indication remains at €190 per tonne. Grass seed hay is a puzzle for some forage traders. There is not much supply of good grass seed hay from arable farmers. "Ensuring that you survive the end of the season with your own stock is the trick," says a trader. The DCA Indicative Price for grass seed hay increases slightly to €150 to €160 per tonne depending on the variety.