Ireland: Malting Company of Ireland to reduce barley contracts in 2026

Suppliers of barley to the Malting Company of Ireland (MCI) were notified by letter on Thursday 6 November that their malting barley contracts will be cut for 2026, the Farmers Journal reported.

MCI is supplied with grain by Dairygold and Tirlán grain growers.

Although market demand declined in 2025, MCI remained committed to purchasing 2025 grain that had been planted by growers.

However, with little improvement in demand for malting barley, MCI is reducing malting barley intake for 2026.

The company released a statement to the Irish Farmers Journal, which is outlined below.

“Malting Company of Ireland (MCI) has maintained and honoured all malting barley commitments for the 2025 harvest. However, 2025 has been a challenging year for the Irish distilling sector, which has impacted overall malt consumption and demand.

“Current forecasts indicate 2026 will follow a similar trend. MCI has had to reduce its malting barley requirements to reflect anticipated demand for 2026.

“This adjustment is driven by a fall-off in demand for malted barley reflecting broader market trends in premium distilled beverages. The adjustment is necessary to ensure alignment with current and forecasted market realities.

“We have endeavoured to notify our shareholders at this stage to allow them to advise and work with their growers on alternative rotations for 2026.

“MCI remains committed to supporting the long-term sustainability of the Irish malting barley sector and is actively assessing new growth opportunities nationally and internationally to provide future value-added malting opportunities.”

Demand has remained poor for malt. However, market experts have suggested that the dip in malting barley demand could continue until 2027, but is expected to improve. Prices for malting barley in recent weeks have improved slightly.

In October 2024, MCI announced plans to expand its facilities to process another 25,000t of malting barley.

MCI continues to upgrade its malting facility at Togher in Co Cork. Significant capital investment works, as well as site and upgrade works, are under way in preparation for the expansion.