Early winter rain is lifting pasture growth and steadying hay demand, while freight costs determine how far southern fodder runs north.

Australian Fodder Industry Association figures show Central West NSW cereal hay at $330 to $420 a tonne delivered and southwest Victoria at $245 to $385 a tonne for cereal and $445 to $605 a tonne for lucerne, with most regional ranges steady through late May as paddocks greened up and buying urgency eased. But farmers say some areas will continue buying well into winter to sustain livestock over the colder winter months.

Timmering fodder producer Alex Peacock said demand into the NSW New England and Queensland remained active, with loads from his operation still destined to go north.

“It’s mainly cereal hay going north, some vetch too,” he said.

Current prices had eased slightly on the back of rain but he said a broad range of $200 to $300 a tonne was being paid for cereal hay ex farm.

Mr Peacock said falls of up to 40mm at home helped crops and some export grade hay could switch to domestic if the price stacked up.

Meanwhile, southern supply hubs continue to anchor pricing as full sheds and improved pasture take heat out of inquiry. AFIA figures showed the Goulburn and Murray Valley at $255 to $375 a tonne for cereal, $440 to $600 a tonne for lucerne and $110 to $130 a tonne for straw, while vetch from irrigated zones ranged from $260 to $450 a tonne ex farm.

AFIA chairman Gavin Schuster from Freeling in South Australia said widespread rain had reduced interstate demand. “Demand for hay is steady and most of the NSW hay is coming out of Victoria and southern NSW. SA domestic demand hasn’t been as strong as expected.”

Bega NSW dairy farmer Phil Ryan said freight costs set pricing decisions on the Far South Coast.