The hay market - France

The hay market in France was part of the wider forage market and was crucial for livestock feed, particularly during periods when grazing was not possible. Although valued at 6.62 billion euros, the market was in decline due to factors such as changes in farming practices, urbanization and changes in food consumption leading to a reduction in demand for meat.

The Common Agricultural Policy (CAP) had a negative impact on forage acreage, encouraging the cultivation of field crops to the detriment of forage. Demand for hay was mainly fuelled by the livestock sector, in particular herbivores such as cattle and sheep. Weather conditions strongly influenced historically warm hay production, resulting in dry soils which probably had an impact on hay reserves and could have led to an increase in livestock slaughter. According to the most recent data, hay production was a multi-stage process, including cutting, tedding, windrowing and baling, which added to the complexity of the market.

The market is made up of a variety of players, including producers, traders, transporters, agents, brokers, wholesalers and retailers. As livestock diets have diversified, demand for different types of hay has evolved, with prices varying according to factors such as type, packaging, transport and seasonal conditions. The cost of hay production itself can be significant, with associated costs such as field work and machinery use.

European legislation, in particular the CAP, has continued to affect the market, although specific figures for aid allocated to crop and forage production date from an earlier period. Innovations such as the TSG label for hay milk, which certifies high-quality dairy products from animals fed predominantly on hay, point to the potential for market recovery. In the absence of more recent data beyond 2020, it is difficult to give an accurate picture of current market trends. Nevertheless, based on past trajectory, we can anticipate the continuing influence of climatic conditions on production, potential changes in CAP policies, the challenges posed by alternative forage sources, and changing consumer preferences influencing the structure and demand of the hay market.

Trends in demand for hay in the French agricultural sector

In recent years, the French hay market has shown significant trends in demand, mainly driven by the agricultural sector. Hay, which is an essential component of animal feed, particularly for livestock such as cattle (between 15 and 20 million head) and sheep (around 7.2 million head), has seen demand evolve due to a variety of factors. The evolution of livestock production in France is one of the main factors influencing demand for hay. Over time, the composition of the livestock population has changed considerably, with a notable transition from sheep herds to a predominance of cattle. This change in domestic animal populations naturally has an impact on the volume and type of hay required. In addition, the geographical distribution of flocks has changed, affecting the demand for hay in different regions of France. With the reduction in livestock numbers around the Paris basin and in the south-west, marked by a reduction in permanent grassland of 513,800 hectares in ten years, the hay market is experiencing regional dynamism and challenges.

According to AGRESTE, hay production amounted to some 602,249,860 quintals on a surface area of 12,256,593 hectares, with an average yield of 49.14 quintals per hectare. However, as much of the hay produced is used to feed livestock rather than being sold, it is reported that around 20 million tonnes of forage, including hay, are marketed each year. Climatic variability also plays a decisive role in the evolution of the hay market. In the event of meteorological problems such as severe soil drought in hot weather, the quantity and quality of hay production can be considerably affected, which can lead to increased recourse to slaughter due to low hay reserves. AGRESTE data underline that while France's livestock production sectors are maintaining or recovering, the overall increase in domestic demand remains fragile. There is a growing dependence on imports, and with a widening trade balance deficit and weak growth in domestic consumption, the projection of substantial growth in the agriculture-dependent hay market remains uncertain.

These factors, combined with long-term trends influenced by the Common Agricultural Policy and feed diversification (such as the increase in maize silages silage and cereals in livestock diets), present an interesting challenge for the hay market in the years ahead. However, the promotion of hay in livestock feed through labels such as Spécialité Traditionnelle Garantie (STG) and the pressure for high-quality, GMO-free diets.

Key players in the French hay market: A symphony of grasses and traditions

In the verdant, bucolic landscapes of France, a select group of hay producers and merchants play an essential role in the cultivation, sale and distribution of this staple food for herbivorous animals. These market players form an integral network, ensuring the flow of high-quality hay from their farms to feedlots and stables across the country.

Commercial hay producers

• SAS Gilles Baudot is a name synonymous with quality in hay production. Operating with precision and care, Gilles Baudot farms demonstrate the meticulous process of growing, harvesting and preparing the finest hay that serves as vital food for countless animals.
• GAEC Le Merinos, a Groupement Agricole d'Exploitation en Commun, embodies the collective effort and collaboration that underpin the success of French agriculture. Thanks to its in-depth knowledge of the dynamics of local pastures and its commitment to sustainable practices, GAEC Le Merinos offers hay that carries the very essence of the region's natural wealth.

Commercial hay traders

• Hay France Company has established itself as a leading figure in the commercial hay space, bridging the gap between producers and the market. Its logistical prowess and strategic market knowledge ensure that hay reaches buyers in the most efficient way, navigating the complex supply chains that define modern agriculture.
• Fourrages Doulière and Fourrages Girerd are two beacons in the forage trade. By offering a wide range of hay products from different varieties of grasses and legumes, these merchants provide choices that respond to specific needs and requirements.and preferences, highlighting the agricultural biodiversity for which France is renowned.

Hay trading platforms

• Agriaffaires, Pleinchamp and La Balle Ronde have become digital hubs for hay transactions. These platforms democratize trading, enabling farmers to reach a wider audience and offering buyers the convenience of location-based searches and a range of prices.

Together, these key players in the French hay market - from the farmers who tend the land to the traders and facilitators of the digital marketplace - make up a harmonious industry centered on tradition, quality and the common goal of supporting the country's vibrant agricultural life.

Inforamtion

• Number of pages : 30 pages
• Format : Digital and PDF versions
• Last update : 09/12/2022

Summary and extracts

List of charts

• Alfalfa hay market trends
• Number of equines
• French cattle population in thousands of head
• Goat and sheep livestock trends
• Average annual consumption per inhabitant
• The desire to reduce animal protein consumption in favor of greater environmental and taste quality of products
• Trends in forage, non-permanent grassland and STH production
• French trade balance for the hay market
• France's main customer countries
• France's main supplier countries