What are hay prices like elsewhere? Here (East-Central Ontario) 3x3x8s are selling at 15 cents a pound this week.
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Here in SW Manitoba there is going to be piles and piles of hay. I think hay will be running around a cent a pound. Some people that have hay cut right now its laying in water.
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I have talked to folks in the ag industry from Pincher Creek to High Prairie over the past couple of weeks and they all seem to feel that there will be a real surplus of feed this year, barring hail or some other disaster !
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I was assuming the problem was a missing decimal point? If not it's time to load your hay trucks up and head east!
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We had a little bit of rain in early April, none in May, and none in June until about the 25th. First cut for most people was 30-50% of normal. With the number of horses in the area and hay exporters we don't have a surplus of hay in a good year, this year we already have beef herds being liquidated because there's no feed. We had one beef herd call 2 weeks ago offering $3 small square for standing hay, they sent the herd out this week because they couldn't get any takers and couldn't offer more. With the amount some people are offering for hay now, it's probably better if they DON'T get it, they can't afford what they're offering.
We're one of the lucky few with 200 round bales left from last year so we should be fine as long as we can put 1100-1200 tons of corn silage in the bunkers.
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If you could get it HERE for that, you could probably sell as much as you want. I know part of the problem was that farmers farther east lost 100% of their crop to winterkill and they were buying up a lot of stored hay early this spring and cleaned out the barns. I don't think we're going to need any ourselves. Got 70 acres of peas/oats/barley to cut tomorrow.
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It's amazing to me how we farmers gouge each other for all we can GET, in stead of trading it for what it's truly worth. Things like hay, seed and feed-grains should be worth what the buyer can sensibly afford and still live, not what the seller can insensibly jack it up to.
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By the way, I usually pay 3-3.5 cents/pound, and by the time I get it hauled home it runs me 4-4.5 cents/pound. And I don't buy it unless it comes with a feed test analysis.
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interestingly enough in the drought of 2002 I was buying hay from the Peace country and paying approximately $75.00 per bale delivered.
Last year there was ample hay in the province and judging by the row upon row of hay still in the hayfields this spring in the Peace, folks didn't sell as much so this year 75% of the acreage in the Peace is in canola according to my sources up in that country.
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With any product there is a buyer and a seller. No one forces anyone to buy anything? There are always options?
In the drought a lot of guys ended up holding straw bales because they were trying to get too much money out of them. Instead of taking $50/bale they held out for $60....and ended up burning them! In the meantime in came the fusarium infested garbage from eastern Saskatchewan and Manitoba!
What is a fair price? Was it fair that the Canadian government let in heavily subsidized American corn (2002) because the barley farmer was getting $3.30/bu. for his drought reduced crop?
Is it "gouging" when you ask four times the price of a steer calf, for one that isn't cut?
Like I said there has to be a willing buyer and a willing seller if anything is going to happen.
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