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Stuart Hassall, Hassall Brothers Auctioneers and Valuers
pring has presented one of the darkest times the dairy industry has ever witnessed and an almost insurmountable challenge for the individuals who continue to toil through the ensuing issues. Nonetheless, we have to retain our passion for an industry that is a great part of our cultural heritage and not only an industry that provides our livelihoods, but a way of life that we hold so dear – an undeniably difficult ask even for the most resilient of farmers in the current climate. Conversely, the pedigree Holstein continues to bring a great deal of happiness to many of us, even as we face these difficult times, challenges and decisions. Indeed we can plan and even attempt to create forecasts, though as has been proven by our industry over the past 12 months or so, you never know what is around the next corner. Circumstances can and do change quickly and as an industry we need be armed and ready with a response. This brings me to the question - what do the coming months hold in store for us? In face of the continuing difficult trading conditions, the fresh cow market has become more competitive than ever and it is the best animals that are achieving the better prices at market.
Buyers are becoming increasingly specific about what they are looking for. The more particular buyer is seeking the most comprehensive animal i.e. one
that provides strength, milk, durability and great condition. An increasing number of purchasers that once relied on the import market are now sourcing their stock from the UK.
Consequently, this has reintroduced a greater number of volume buyers to the market place. Animals that do not fulfil the traits listed above will be hard to place and realise a much lower price as an increasing number of dairy farmers are looking at the autumn profile - these cows are showing promise to be the ‘trade of the moment,’ and this is a trend we anticipate will last through to the early summer.
The sheer disparity between milk contracts that currently exists in the marketplace has led to dairy farmers battling against seriously hard times and in the most extreme cases, forced to leave an industry that they have lived and breathed. The severity of the climate in which we operate cannot be underestimated. The difference in milk contracts has resulted in a huge variation in what buyers are looking for at the sale ring and privately, ensuring that there is always a purchaser for stock, although at lower values. On a more positive note, it also means that the Holstein cow has had greater exposure to a wider audience than ever before. Youngstock have proved more difficult to sell, although when analysing the situation,
the animals that are currently selling the best are summer calving heifers followed by young and weaned calves. It is highly likely that when these animals are calving down, they will be desperately needed as at this rate we will be heading for a huge shortage in surplus dairy stock.
With no spring flush, and a reduction in UK milk production in March, we might just see stock prices increase and then come the autumn we could even see a shortage of milk and finally an improvement in the milk price. Remaining ever the optimist, a little drought would not go a miss in aiding an improved situation. We must all be proud of our passion for the Holstein cow and the industry. Sometimes opportunities present themselves in the darkest hour and sometimes we just have to believe in ourselves and our product. The time at which we launched Hassall Brothers Auctioneers & Valuers means that we too are enduring the same difficult trading times and hence why we believe so strongly in creating an efficient and cost-effective way to sell, either through our weekly sales at Market Drayton Market in conjunction with Barbers Auctions, our on farm sales or via our popular private sales register. Most importantly, we believe in our industry’s future and the youth within it, like all of you we want to be a part of it.
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