Attention horse owners: discounted hay is a thing of the past. I have been doing quite a bit of talking to other growers and doing some market research and the discounted first cutting is pretty much sold out in the area. Now by discounted hay, I mean hay grown by hobby farmers and marketed for less than the going rate to move the hay quickly. This price undercutting happens every year in Central Oregon and normally means cheaper deals can be found clear until the end of September. However this year has been so cold and hay has been moving so fast that the undercutters have moved their product and now the large commercial growers have the inventory until next year.
What about second cutting? The growers that only go for two cuttings will be dropping hay pretty soon, but I think that and discounted hay that is not already accounted for will be moved so fast that it will hardly be notice in the main-stream market. I talked to a number of hobby farmers and many have their neighbors lined up at the door for their hay, and they won’t be advertising it.
So what does all this mean to the hay customers that buy hay in Central Oregon? If you are reading this and know of horse quality orchard grass for less than $220 a ton, stop reading and call up that grower and buy all you need for this winter. Seriously. STOP READING. Because I have a feeling that a market correction is going to happen to account for the high prices of dairy alfalfa. Right now, premium alfalfa is getting moved for $220 a ton and higher in big bales. Usually alfalfa, especially in big bales is priced about $20-$30 a ton less than orchard grass in small bales because of the less input costs. But right now dairies can’t find enough alfalfa and its shooting the price right up. Also exports of hay has been pretty steady so there is a great demand for hay. The fact that orchard grass is at par with alfalfa big bales is an unusual thing and cannot stay for long. The market will have to correct itself and because of the great demand, it must mean higher prices for orchard grass.
Now there is still time to shop for hay. Drive around and look for hay that is down and try to talk to the farmer and lock in your order. This is the best way to get the best price, plus you can look at the hay in the windrow and get a good feel for the quality before it is baled. Like I said earlier. Anything that is under $220 a ton is a bargain, snatch it while you can.
Central Oregon Hay 
I can also attest to that. I am own TNT hay sales out of Canada and we have only managed to find one stack of orchard at 220. Everything else is up around 230 to 250 for premium orchard grass. Since our customers have no idea where the hay market is at it is diificult to try and sell hay for 60 dollars a ton more than last year but they’re going to have to get used to it becuase i can only imagine that in 6 months we’ll look back at 250 dollar hay as a bargain.
It will be interesting to see how things are next april……
I am going to copy below what I wrote over in the other blog for “Good News for horse owners?.
Many people in Central Oregon whether top line breeders or just 4Hers have had to cut back on horses because of the price of hay as I have. And I am sure we aren’t the only ones. But in Central Oregon it seems to be more prevelent here. And just like your post Farmer Al……farmers here think their hay is gold.
I raised my top line bred horses on coastal hay for years with no health problems. Here in CO the soil is crappy, in the valley the soil is rich. But it doesn’t mean they don’t need fertilizer and irrigation. No, todays farmers are spoiled. They go out and buy their fancy new equipment with air conditioning and make us pay for it. Do the math. 200 acres of orchard hay will on average grow at the least 3 ton of hay per acre. So that makes 600 ton of hay on that 200 acres. Now average the price at $225 a ton (since some farmers sell it for $200 to $250 a ton) and that would make it a total of $135,000. And what…….half of that would be profit? Still $67,000 is nice wage for at most a 6 month work period. More than twice what I make all year.
It is just sad that this also could soon put an end to our 4H groups that learn so much from owning and caring for horses and other animals. I know it gave my daughter a good sense of responsibility as she was growing up. Do you really want to deny them this in the world we have today?
I know we have not had a good example from our countries leaders the last couple decades, but do we really want to be like them and just make it harder for everyone else? What happened to helping your neighbors and being a GOOD neighbor. I don’t know what I would do without a good neighbor. We always help each other out. Farmers and ranchers use to be the first to rally around to help neighbors raise a new barn or help with fields when one wasn’t able to do it because of injury or illness.
Power and Greed is what we are getting from our Governemnt and Riche. Are we really going to sink to their level?