Global supply of barley has been rising at a CAGR of 3.05 percent over a period of four years. Its production is expected to witness minimum growth in the coming years due to the increase in consumption of soy and corn in feed and biofuel industries. Europe and Russia, along with Ukraine, remain the largest producers, accounting for 60 percent of the total share of barley produced globally. Barley production is driven by Europe and Russia, particularly for beer production and consumption. These two countries also have high domestic and export demand. The report further elaborates on the European, Ukranian, Russian and Canadian market overview of malting barley price drivers and their supply-demand analysis.
France and Germany are the leading producers of barley in Europe. Majority of the barley produced from these regions is malt barley, which is used in brewing. Russia grows most of its barley in the Southwest region. Alberta and Saskatchewan are the key barley producing regions in Canada, accounting for almost 70 percent of the total Canadian barley share. Ukraine is the largest exporter of feed barley to Saudi Arabia. It also covers most of the demand from other middle eastern countries. The report also covers supplier analysis of some of the most prominent Barley Malt manufacturers like Soufflet Group, Cargill Malt, GrainCorp Malt etc. in detail.
The price of barley determines the prices of malt. Barley prices are determined based on the wheat prices in any particular region due to high substitutability in feed applications.
The barley market is dominated by top 10 suppliers globally and has not witnessed a significant number of new entrants. With limited number of buyers from the beer industry, intensity of rivalry to secure long-term buyers is high within the maltsters
The top 10 maltsters hold a market share of ~70 percent. Currently, there is no suitable malt substitute available commercially. Specialty malt varieties produced from wheat and other sources are gaining importance with increasing demand from craft breweries. Majority of top growing regions are contracted by maltsters and access to raw materials for new entrants is a huge challenge. Maltsters ensure steady supply of barley through contract farming and long-term contracts.
Beroe gathers intelligence through primary sources that include industry experts, researchers, and consultants, as well as current suppliers, producers and distributors. Secondary sources can include business journals, newsletters, magazines, market research data, company sources, and industry associations. Following data collation, analysis, and strategic review, the Final Research Report is published on Beroe LiVE.
Category Intelligence on Barley and Malt Barley covers the following
Global supply of barley has been rising at a CAGR of 3.05 percent over a period of four years. The key factors driving the growth include demand for feed barley from Middle Eastern countries and global demand for malt barley to be used in brewing industries
The total global production of barley in over the last four years has increased by 12 percent, while consumption for the same period has climbed by 12.4 percent, driven mainly by feed and beer industries
The consumption from Europe and Russia involve for both feed and food while countries, such as Saudi Arabia use only for feed purpose. China also uses majorly for beer manufacturing purpose, as their primary feed come from corn, which is much cheaper
Market Outlook - 2016/2017
Europe is the largest producer and consumer of barley. However, their major export variety is feed and they domestically consume 80–90 percent of the malt barley, which is used to produce beer. Russia and Ukraine together account majorly for feed-type barley, which is primarily exported to Saudi Arabia and China.