The sun is shining and it feels like spring outside. Yet, the mood in the livestock sector isn't improving. High manure disposal costs and a lackluster milk price don't make things any more cheerful. And then, due to developments in Iran, oil, and therefore diesel, and fertilizer are also rising in price. The fodder trade is also feeling the pinch.
Many livestock farmers are keeping a close eye on their finances. A silver lining is that the by-products market is truly a buyer's market. Traders with purchase obligations to processing industries have to work hard to secure the volume they need. Fortunately, livestock farmers can take advantage of this. Especially if you have the space (both financially and physically) and can receive larger volumes, several suppliers indicate they can significantly reduce the price. There are ample residual flows from both potato and grain processing. The DCA Indicative Price for brewers' grains has decreased slightly this week by €0,05 to €3,40 per percent dry matter.
Peddling
Products straight from arable farming are also a source of hawking. Onion supply is somewhat calmer, but carrots and especially potatoes are flooding the market. Carrots are always tricky because they actually need to be rinsed before they can be used as feed. This isn't a problem with rinsed carrots from processing, but there's not much supply of them. It's mainly carrots straight from crates in the cold storage that are being offered. "You'll be completely overwhelmed with feed potatoes if you're not careful," says one trader. "It seems like everyone has given up hope and suddenly wants potatoes." With a big month left before the grazing season, this is worrying some insiders. The DCA Indicative Price for feed potatoes remains stable at €15 per tonne.
Straw remains relatively stable, but some traders are noticing that barley straw and hammered Spanish straw are becoming more popular. Livestock farmers likely want to have some structure in stock to adjust their operations when fresh grass becomes available. Because straw often comes from further afield, the diesel price has a greater impact. Many transporters charge a diesel surcharge, and according to some traders, this has already increased significantly this week compared to last week. Large customers, particularly those with very competitive prices and where transporters unload immediately, could be the first to feel the impact. This week, the DCA Indicative Price for wheat straw remains unchanged at €165 per tonne. Barley straw is rising by €5 per tonne to €170.
Grass is scarce
Hay trade is limited. Good meadow hay isn't readily available. If you do have some, livestock farmers quickly find it too expensive. According to traders, meadow hay is more popular with horse owners. The DCA indicative price for meadow hay remains stable at €200 per ton. Grass seed hay is also limited in trade. The DCA indicative price ranges from €160 to €180 per ton, depending on the breed.
The corn trade is going reasonably well, but according to some traders, it's been busier around this time of year. The supply of good corn isn't exactly plentiful either. Prices vary considerably. The DCA Indicative Price for silage corn this week is €80 per tonne. Finding good silage from a first or second cut is practically impossible. In the north of the country, there's slightly more availability, and some customers are willing to accept the longer transport distance (and therefore higher price). The DCA Indicative Price for silage grass this week is €85 per tonne.