SWIFT CURRENT, Sask. – Farmers who have hay bales to sell but aren’t sure what they are worth should consider a hay auction.
“Some people aren’t comfortable with bartering at their farm,” says auctioneer Bruce Switzer.
“And some prefer to buy this way. You don’t insult your neighbors.”
Switzer told producers attending a forage and livestock conference that hay auctions offer a quick sale and cash in hand.
But sellers have to do it right.
“Production is one thing, but it’s how you prepare,” he said.
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“It’s more than just baling it up and sticking it in a corner of the field.”
Switzer advised producers to stack bales by a main road, but not by a fence, so trucks can get in to load. Putting them in 34- or 68-bale stacks is even better, because that number will fit on a large truck. The bales should be tied tightly so they can withstand the move. They do not have to be covered.
Bad bales should be removed from the stack. Switzer said producers who intend to sell hay over the long term want to establish a good reputation and build a clientele. A few extra bales should be kept away from the main stack to be used as replacements, if necessary.
Preparation checklist
Alfalfa bales should be separate from blends, he said.
A feed test is also a good idea.
He said producers should weigh some of the bales within a week of the sale date to give buyers an idea of the stack’s weight. Weighing them too early is a mistake, he said, because of shrinkage.
Switzer said a lot of people would like him to sell their hay by the tonne, but he doesn’t. He said customers will complain if they receive less than they expected based on the weight of a few bales. If they receive more than expected, they won’t
return it.
“That’s why we sell them per bale, loaded.”
Switzer estimates the price per tonne of hay bales he has auctioned over the past 10 years has ranged from as low as $40 to as high as $135.
Last year netted the lowest prices because of high production, he said.
Switzer began auctioning hay when a producer thought he had sold 250 bales and the buyer backed out at the last minute. He suggests sales should be of larger lots. As well, neighbors could have joint sales.
“Eight hundred to 1,200 bales would justify a sale,” he said. “We’ve had up to 2,000.”
Switzer said his commission is five percent, plus the cost of advertising.
