Oklahoma State University Extension Livestock Marketing Specialist Dr. Derrell Peel on Monday offered his economic analysis of the beef cattle industry. On “Cow Calf Corner,” published electronically by Peel, Mark Johnson and Paul Beck, Peel discussed higher hay supply and reduced hay prices.
Larger May 1 stocks and increased year-over-year hay production led to larger hay supplies in 2024. Total hay production in 2024 was up 3.3% year over year and combined with May 1 hay stocks up 46.6% over 2023 levels to increase the total hay supply by 7.9% compared to year-earlier levels. The total hay supply was 1.7% below the 10-year average supply from 2014-2023.
Total hay production includes total alfalfa hay production, almost unchanged from 2023 levels and 8.4% below the 10-year average as well as total other hay production, up 5.5% year-over-year and 0.6% above the 2014-2023 average.
Coming into winter 2024/2025, Dec. 1 hay stocks were up 6.3% year over year, though still down 3.2% from the 10-year average. Hay supplies have recovered from the drought-reduced levels of 2022-2023 and, as a result, hay prices have dropped from record levels.
Table 1 shows the top 10 state rankings for Dec. 1 Stocks; All Hay Production: Alfalfa Hay Production and Other Hay Production and highlights the considerable regional variation in hay production and stocks.
Texas is the largest hay producer, mostly other hay, with production and Dec. 1 stocks well above average. Alfalfa hay production was down compared to the 10-year average in some important dairy production states (California and Idaho) as well as in some mostl y beef cow states (Montana and South Dakota) that depend on alfalfa hay.
In many states, increased hay supplies are providing more management flexibility for cattle producers and lower hay costs are reducing annual cost of production somewhat. However, among major beef cow states, Florida, Kansas, Montana and North Dakota, 2024 Dec. 1 hay stocks are down year over year and below the 10-year average.