16 February, 2007

EU: There is a risk that malting barley supplies of crop 2006 will dry up altogether

EU malting barley markets, which had been inactive since early December and seemed to become slightly weaker, came back to life at the very end of January. New domestic business, reported business and further interest from Russia and rumoured sales to China drove prices back to levels of early December.

There is a risk that malting barley supplies of crop 2006 will dry up altogether, at least the stocks of good two-row spring barley. Maltsters will have to rely more on winter barley and low-quality barley, or they will have to stop production for a certain period. Production stops are indeed reported from Germany.

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