Alfalfa hay price dips even lower

The average price for alfalfa hay was down another $2 in February at $159 per ton, which was $42 less than last year and the lowest such price recorded since February 2018. Data from the USDA’s Agricultural Prices report showed the price of February hay other than alfalfa (grass) inched up $3 to settle at $143, closing the gap between average alfalfa and other hay prices even further.

Another subtle price change occurred in February for Supreme and Premium alfalfa hay, which was up $1 per ton at $243.

Three states had month-over-month alfalfa price gains during February, with only one of which sporting a double-digit improvement. Arizona was $20 per ton higher, followed by California and Washington, both up $5 per ton. Five states — Idaho, Kentucky, Michigan, Missouri, and North Dakota — reported zero price change from January to February.

Iowa had the largest average price decline for alfalfa at $12 per ton. Double-digit price declines for average alfalfa price were also reported in Illinois, Montana, Nevada, New Mexico, and Utah, all down $10 per ton.

The highest average February alfalfa hay price was reported in Pennsylvania at $258 per ton. This was followed by California and New York, both posting $245 per ton.

North Dakota had the lowest average alfalfa price at $90 per ton. South Dakota was the next lowest at $98 per ton, followed by Iowa and Nebraska with $105 and $106, respectively.

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 February, the average price of Supreme and Premium alfalfa hay rose by $1 per ton to $243. This was $35 per ton lower than a year ago.

Other hay

The February average price of other hay was up $3 per ton to settle at $143. This was $29 per ton lower than the previous year.

The highest February price for hay other than alfalfa was reported in Oregon at $205 per ton. California and Washington both checked in with $200 per ton, followed by New York and Pennsylvania with $186 and $185, respectively.

North Dakota had the lowest reported other hay average price at $70 per ton. It was followed by Wisconsin at $79 per ton and Minnesota at $80 per ton.