# Pricing hay in a rising market



## Hayguy (Jun 4, 2008)

Prices at local auction market (SC Wis) have taken a real jump at the last few sales. Doesn't do us much good since we're sold out except for the bottom layer in the barns. Usually, we set our price at harvest and don't raise or lower it till we're out. I know we're missing out on the potential for some extra income, but I think it does seem to create some customer loyalty. Wondered how others felt about raising prices during the selling season?


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## darren (Nov 18, 2009)

I'm in the same boat as you are.I set my price in the spring after I buy my fuel and fertilizer.I have never raised my price once set.I allways sell everything early ,but usually wish I didn't.I think I'll save some for winter this year and take my chances.


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## okhillbilly (Jun 18, 2009)

Most of the time I set prices during the harvest (maybe a rough estimate of around or between $ to $). Drought and rainfall can change greatly from early spring till harvest time. I like to get close to a 1000 small squares in the barn just to see what harvest will be like (bales per acre), before I sell any hay. Also listen and talk to a few local custom cutter guy's to see what the are seeing compared to the previous year or two for harvest quantities.Most return customers understand a little about production problems (drought and rain), and are willing to wait a few weeks for a phone call to let them know you have a supply of hay ready, and the pricing,( buy the ton or per bale). You will lose a few customers, but you can have a chance to make more if there is a shortage. Most of the people I sell to don't want to pick up hay from the field anymore, mainly just one person coming to get it usually and I don't have time for delivery. I do set a price in the field or in the barn and stick to it till it's all gone.


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## steve IN (Jan 13, 2010)

I will set my price out of field usually in May. By then I have a rough idea of my cost of fertilizer. Price can vary a little by the quality and quanity. Most of my loyal customers have thier price set early. I do not set my price out of the barn until all hay is harvested. This way I can see what the market is like. Rule of thumb is generally fifty cents more for squares and ten to twenty dollars by the ton. I try not to jack the price up just to screw the customer like so many of these fly by night guys do. I have found over the years that if you are fair and they are loyal then that is worth alot.


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## mulberrygrovefamilyfarm (Feb 11, 2009)

I saw a nice jump here in my part of NW Iowa, for alfalfa anyway. I was under the market big time on my direct-sale prices. I had callers balking at my prices that I knew were under what the area averages were. So I took a load to the local sale barn and knocked it out of the park. Needless to say the rest of my hay went to the sale barn and now I'm sold out. Nice way to end the year.


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