Southern Demand Challenging National Supply: a Market Update with Dave Clothier

Episode Highlights:Recent rainfall across the eastern seaboard has had minimal impact on reducing fodder demand.The EOFY is influencing decision making. Some growers are choosing to defer payments and buyers are deciding between filling on-farm storage now or in the new financial year.Demand is high and driven from the south, spreading into the north; all grades are selling well which bodes well for the new season.Beef prices are expected to remain strong for the next few years, supported by exceptional seasons and high livestock numbers in QLD, NT, and NSW. High calving and weaning rates are expected to continue boosting supply on the eastern seaboard.In WA, dry conditions are leading to increased livestock movement to eastern graziers and into abattoirs.While there is still a significant volume of hay available, it is distributed in smaller lots, making it challenging to secure large quantities. All grades are available, but larger lines of quality hay are scarce.The rapid sale of all hay grades, including weather-damaged stock, is setting the industry up for a promising new season. Unlike last year, when quality hay was left on pads due to limited shed space and faced higher risks, the current situation looks much more favourable for the upcoming season.Across the board, hay prices are firm, except for quality cereal grades where prices are rising due to demand.