Australia: Barley crop expected at almost last year’s level

Australia’s 2021 barley production estimate remains at 12.6 mln tonnes, following the big 2020 crop, RMI Analytics reported late in September. Some estimates are 13 mln tonnes plus, which would bring the crop close to 2020 levels.

There are reasonable expectations for a good crop outcome in terms of quality and yield. Still there is some time to go before harvest but for now the crop is very good.

Australian prices have moved higher, in part due to some recent feed barley business which boosted feed prices and also relative to global malting barley prices, as there is increasing interest from non-traditional destinations. All port zones are higher and the malting vs. feed spread remains relatively narrow compared to other origins.

With a sizeable crop 2020 carry-over stock and another big crop expected in 2021, it looks like Australia will remain a key malting barley source (non-China) with shipments to South America confirmed and potential to export to North America.

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