World: Barley production estimate for 2022/23 slightly up at 146.6 mln tonnes

Global barley production estimate for 2022/23 is slightly higher in RMI Analytics’ late August report – at 146.6 mln tonnes versus 146.2 mln forecast earlier this month.

With a slight reduction in the EU+UK production (-0.4 mln tonnes), the majority of the increase comes from Russia where better yields are generally reported. RMI analysts’ estimate for Russia is 20.7 mln tonnes (below 20 mln previously) and compensates for the reduced production (and exports) in Ukraine.

Globally both maltsters and brewers have achieved comfortable coverage levels as northern hemisphere harvest delivers mostly favourable quality and yield results. Crop 2022 production is reduced versus crop 2021, but prospects are improved for a slight increase in the availability of malting quality.

Lower prices dominate across the board, with France setting the lower price direction, as reasonable harvest results pressure the market.

In general, malting premiums are falling as the availability of malting barley quality has improved. Also, it seems buyers are mostly absent from the market as the price slide continues, which is contributing to an erosion of normal prices and premiums.