19 November, 2020

World: Only four countries can ship barley to China at the moment

The Chinese boycott of Australian barley has split the world market: there is the premium market for sales to China. Only Argentina (1.0 mln tonnes), Canada (max. 3.5 mln tonnes), France (3 mln tonnes) and Ukraine (3 – 4 mln tonnes) can deliver to China at present, while Denmark is renegotiating its quality protocol with China, H. M. Gauger GmbH reported earlier in November.

In these countries, the markets are ruled in terms of pricing by the China-business. French barley demands a premium of USD 25 above other EU origins. All four countries are starting to run out of supplies.

In the non-China markets, barley prices look very attractive for the feed industry, however, farmers are most reluctant sellers. Market prices did not follow the hectic movements on grain exchanges, but moved higher slowly and steadily.

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