EU: August malt market review: traditional holiday month reduces trading activity

August has been a traditional holiday month with little activity in the domestic and international malt markets, analysts commented on September, 1.

As of September, 1, price levels, mostly nominal, for 2RS malt, crop 2008, delivery 2009, DDU breweries, are EUR 440,-/450,-.

FOB bulk in vessel in North European seaports, EUR 440,-, FOB bulk in container EUR 460,-. 6RW malt, variety Esterel, was quoted at EUR 20,- less at the beginning of the month.

There had been a small wave of domestic business for crop 2009 at prices, which were EUR 10,- higher than for the present crop, but that business dried up, when maltsters could not find barley offers for the next crop any more.

The large malt quantities sold under LTA’s have reduced the former pure sales activities very much. Brewers have covered fairly large open barley quantities under LTA’s in August, but those transactions are hardly noticed by others than the involved contract partners.