EU: Markets are inactive and depressed, according to experts. Old crop and new crop malting barley, 2rs Scarlett, are offered at the same price FOB Creil (France), EUR 126 -127 June respectively July. In the U.K. and Germany old crop stocks have almost disappeared by now, as well winter malting barley in France. Denmark still offers good quantities, at least 100,000 tonnes, Barke/Alliot are quoted at EUR 137 for June/July, Prestige/Passadena at EUR 2 less. Small business is reported to Russia and Finland. New crop markets are also neglected, farmers are unhappy about the price decline since winter and the small premium offered for malting above feed barley prices. Maltsters are caught by an incredibly bad malt market, they would need barley prices between EUR 110 and 120 to operate profitably. In 2004/2005 the EU intervention price will remain at EUR 101,31 basis October, the monthly increment from November to May will drop by half to EUR 0,47 per tonne. Present feed barley quotes delivered port of Rouen are EUR 100-101 per tonne. Winter malting barley, 6rw Esterel, is 110 FOB Creil, 2rs Scarlett EUR 16 higher. That is a small premium for selecting, screening and perhaps drying spring malting barley. It is hard to believe that malting barley prices can decline much below present levels. In export positions and consumption centres of Benelux and Germany minimum prices of EUR 135 per tonne ex harvest and 140 /145 average for the year are thought to be the bottom.

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