With a strong demand for hay and grain to continue, ThinkAgri’s Kate Burke said improved production forecasts was a shining light for the dairy industry in what could be another tough season.
Ms Burke compared last season to the years of 2002 and 2006, meaning there was little feed around.
‘‘The summary on hay supply is that there is continuous demand from other sources apart from dairy,’’ she said.
‘‘On the grain side of things, the signals at the moment are saying there’s fluctuations going on and there could be spot pricing opportunities as things go up and down, but essentially while there is still a strong demand up north and there’s little grain on the eastern seaboard and they’re prepared to bring grain around from WA there will be flow-on effects.
‘‘It won’t be until the new season that you’d see any remarkable shift in that, so it’s probably not what you want to hear, but I encourage you to be realistic and put scenarios in on the likely probabilities rather than the numbers you want it to be.’’