Argentina: Lack of malting barley demand weighing on Argentina’s prices

The lack of malting barley demand is weighing on Argentina’s prices, while feed barley prices are being supported by the presence of demand and active vessel loading, RMI Analytics said in their early February report.

Malting barley is available and the price move lower is an effort to spark buying interest but so far, virtually no new activity is reported. All the price action is in feed barley, with FOB values higher in the face of demand (Saudi).

For farmer FAS prices, the move is even greater, as the trade pushes to cover recently traded volumes. This leaves feed barley only USD5/tonne below the malting barley bid, and such a low premium will not be helpful in maintaining planted area for crop’25. The price impact of a reduced export tariff is limited, although farmers’ expect lower taxes would lead to higher grain prices.