We hadn’t seen a consecutive three-month jump in average alfalfa prices since February through April 2023, but that changed with the recent USDA’s Agricultural Prices report that showed another significant bump in alfalfa price during May. The average price paid for alfalfa climbed to $191 per ton, a jump of $32 since February and $11 higher than April.
The May average alfalfa price was only $11 below a year ago. Typically, the highest average price each year is posted in April or May. It will be interesting to see what direction prices take in the coming months; however, it is probably safe to say that the bottom of the market is in the rearview mirror.
The average price for grass hay also rose in May by $6 per ton to $144, which is the current high-water mark for 2025.
The price paid for Supreme and Premium alfalfa hay during May skyrocketed to $277 per ton, which was $25 above the previous month.
Three states had a double-digit month-over-month alfalfa price gain during May. Iowa was $11 per ton higher, and New Mexico and Wyoming were up by $10 per ton.
Six states had a double-digit decline in average alfalfa price. Arizona was down by $15 per ton. Pennsylvania, Ohio, New York, Michigan, and Illinois were all down by $10 per ton.
The highest average May alfalfa hay price was reported in California at $245 per ton. It was followed by Pennsylvania, posting a price of $240, while New Mexico, Texas, and New York followed at $230 per ton.
North Dakota had the lowest average alfalfa price at $92 per ton. It was followed by South Dakota at $94 and Nebraska at $101.
Keep in mind that USDA average prices account for all qualities and bale types of hay sold. Also, the final U.S. estimate is a volume-weighted average rather than a simple average of state values. Those states with the most volume sales will impact the final U.S. dollar value more than those states with fewer sales.
Supreme and Premium
The USDA also tracks the prices of Supreme and Premium quality alfalfa in the major dairy states and determines an average price from the five top milk-producing states (California, Idaho, New York, Texas, and Wisconsin). This data is used to determine feed prices in the Dairy Margin Coverage (DMC) program.
For May, the average price of Supreme and Premium alfalfa hay rose by $25 per ton to $277, which was $1 per ton above the average price of a year ago. It’s been a long time since any hay price metric exceeded that posted during the previous year.
Other hay
The May average price of other hay strengthened by $6 per ton to $144. This was $10 per ton lower than the previous year.
The highest May price for hay other than alfalfa was reported in Oregon at $215 per ton. Washington followed at $200 per ton while New York posted a $187 per ton price.
North Dakota had the lowest reported other hay average price at $69 per ton. It was followed by Minnesota at $83 per ton.
