11 June, 2022

EU: Barley and malt long-term trade about to change as EU Commission works on a European concept of France’s transparency law

Already in October of 2021 France issued the law "Egalim 2" for transparency in the market sector and protection of farmers, H. M. Gauger GmbH reported earlier this month.

For contracts with a duration of more than 3 months prices of agri-products are to be renegotiated, when markets of raw material, energy, transport and packing have changed up or down. E.g. long-term barley and malt contracts lose the guarantee of fixed prices.

The EU Commission works on a European concept. After the abnormally large price increases of grains, energy and transport cost private negotiations had already taken place in the past months and led to partial corrections of malt contract prices and terms. It is assumed that barley and malt long-term trade are about to change.

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