Like any farming operation growing hay comes with a variety of risks, but four farmers in the Border Rivers region have formed a trading company to spread the risk, pool resources, and gain access to markets that would not be possible as individuals.
Trading as Border Rivers Hay, Adam Cleeve, Texas, Tony Markey, Inglewood, Pieter Mayne, Bonshaw, and Andrew Moore, Bonshaw, used a grant from Farming Together to change their business model and make it a more viable operation.
Mr Cleeve said the new business had only been trading since June 2018, but it was already apparent that it was the right decision.
“We were all involved in Three Rivers Lucerne and that was a co-operative that used to be for all of the lucerne growers in the district, but it was also for any sort of hay that we produced,” Mr Cleeve said.
“We got to a point where we had so few members and not enough acres and the co-operative structure was very expensive, and we decided it wasn’t going to work, so we ceased trading with Three Rivers Lucerne.
“The four of us that stuck in there until the end knew we had to do something together to keep our markets because we sell into feedlots and dairy farms and they like to have a regular supply, so that's how we ended up becoming Border Rivers Hay.”
In a good year, the four growers usually have 200 hectares of lucerne growing under centre pivots, but dry conditions and limited water meant the area would be reduced to about 120ha in the coming season.
Mr Cleeve said he had recently started irrigating again but was in desperate need of rain.
“We've got all river water from the Dumaresq and we’ve got good river licenses, but the thing for us if it doesn't rain, this'll be the last season we will be able to irrigate,” he said.
Mr Moore, Bonshaw, said the collaboration allowed them to continue to supply their contracts even if one grower was facing a tough season.
“Tony Markey at Inglewood irrigates out of the Macintyre Brook, while Pieter Mayne and myself have a combination of river water and bores which is a huge benefit,” he said.
“It all helps if you can spread the risk a little bit.”
In such a tough year when all of New South Wales and much of Queensland is drought declared, the demand for hay is high and so too is the price, but the group said it’s wrong to assume that hay growers were making money out of others’ misfortune.
“People think we’re making a fortune, but it’s costing us more to grow the hay than we’re making from it,” Mr Cleeve said.
“Demand has been high but we don't have any hay left at the moment and pretty much all of our hay for next season too, we've got it all allocated.”
Despite the lucerne side of their operations only taking up a small percentage of their land area, Mr Moore said it was definitely the most productive area and that it complemented the rest of their operation.
“We've got a cattle stud so we run about 300 cows and the lucerne just fits in the mix,” he said.
“This winter we've put young cattle onto the lucerne and you've always got some hay in the shed to feed to your own stock.
“That's probably why we've stuck with it; it just suits us.
“Gross margin wise we're probably all better off growing cotton at the moment, but it just fits into the whole thing at home.”