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Texas and Southwestern Cattle Raisers Association

Texas and Southwestern Cattle Raisers Association

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Texas direct hay report for March 4

Compared to the last report: Hay prices are mostly firm to 5.00 higher in all regions. Hay demand has picked up, but truck shortages and increased freight costs by as much as 25% have put a strain on moving hay and increased prices. That cost will continue to be passed on to the buyers, with operating costs are projected to keep rising through 2022. As producers get ready to prep fields and begin planting for next year, inflation is on their minds both in the form of trucking and inputs needed to put up a quality crop. ERS estimates an annual price increase of 235 percent for anhydrous ammonia, 149 percent for urea, and 192 percent for liquid nitrogen as of December 2021. As a result, some producers are considering growing less forages for this upcoming year to try to manage the increase in input prices, and the difficulty finding trucking on the back side of the production. There is still a lot of higher quality hay moving into the state from Colorado, Kansas, and Nebraska.

Written by:
bsalo
Published on:
March 4, 2022

Categories: TSCRA Update

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