EU: Supply of malting barley is gradually diminishing

According to some recent reports on barley and malting barley markets progress, the supply of barley is gradually diminishing, despite forecasted surplus of spring malting barley harvest and declining malt production. Barley exports to third countries as well as the poor quality of barley in South-West Germany and France are likely to provide a close explanation to this generally problematic situation.

It appears that Scandinavia remains the only supplier of old harvest barley, or all other suppliers seem to have already exhausted their stocks. However, there are still malt producers who are in need for barley from the old crop until the new barley becomes available. According to these reasons, they are to pay some EUR 150 per malting barley tone, which is nearly EUR 20 more than they used to pay a year ago.

Malting barley prices are disappointing the growers. Unlike that, other field crops are being remunerated by better selling prices. Hence, fields under new malting barley harvest continue to statistically contract.
Some of the most important EU malting barley growers (Germany, France, Denmark, Scandinavian countries) have reported this season a generalized 200,000 ha decrease of areas under spring malting barley. This will reverse to an overall deficit of nearly 1 million tones of spring barley and 550,000 tones of malting barley.

Germany reports an all season 577,000 ha area fall (605,000 ha previously in 2005) which will normally lead to even higher barley imports despite decreasing malting production.

The main types of cultivated barley are Braemar, Auriga, Pasadena, Scarlett and Barke. Further important varieties grown in Europe include Prestige, Optic, Cellar, Sebastian, Class and Power.

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