Hay Prices Soaring, Too
Tuesday, July 24th, 2012
Hay prices continue to soar.
This week's hay auction at the Dyersville Sales Company in Dyersville, Iowa saw a record price for the month of July at $295 a ton on some second-crop big square bales.
And the owner of that eastern Iowa auction, Randy Hess, says large round bales were running from $200 to $225 a ton.
"There's definitely some people that it looks to me like they're out of hay," Hess says. "The cows need to be fed, the pastures are dried up-so you either have to make a decision to sell cattle or buy some feed.
"That's what it look to me like right at the moment-the boys are buying some feed right now-and they're all needing some hay."
Hess says it's hard to predict the hay supply situation going forward.
"It seems like when prices get up pretty good, surprisingly, you'll find more hay available," he says. "But there's not a world of hay out there. I think we lost a lot of acres to corn and beans this year.
"And, of course, with the dry conditions, they're not getting the tonnage-although I got to say one thing-the hay is very good quality this year."
Hess says he's not seeing much herd liquidation taking place yet. He says silage chopping will begin in a couple of weeks, which should help alleviate the feed shortage situation.