Tim Abbott of Wagga Hay Supplies said bails are selling as low as $100-150 a tonne with people trying to buy lucerne for as little as $250 a tonne. 

Flooding in southern NSW and Victoria earlier this year has resulted in a shortage down south.

However, Mr Abbott said this hasn’t had much of an impact for local suppliers and “it’s been a quiet year.”

He said despite the tough market, there isn’t much hay around. 

“With this little rain, people get worried and panicky and start buying more feed,” he said.

“I can’t remember a more frosty June, if the season doesn’t change there will be a hay shortage.” 

Low grain prices following last year’s big harvest could be keeping prices competitive despite the shortage, as farmers opt for cheap wheat or oats for feed.

Lucerne growers in Cowra have reportedly run out early this season.

“Whenever there’s a shortage they’re going to come running down south,” small bail producer David Cloros from Euberta said. 

Mr Cloros said he’s had “firm” demand, but hasn’t noticed a significant change in prices or interest.