USA: Barley stocks increased by 7%

On the Quarterly Grain Stocks report posted on June 27, USDA reported barley stocks at 129 million bushels (2.81 million metric tonnes), up 7 % from June 1, 2004. However, recent disappearance of barley stocks has been impressive as USDA reported the March-May 2005 time period indicated disappearance of 62 million bushels (1.35 million metric tonnes), 90 % above the same period a year earlier. The Acreage report showed barley acres totalling 3.97 million acres, which is a decrease in acres of 557,000 acres from 2004.

Crop conditions declined 4 % with declines present in the states of Washington (-13 %), North Dakota (-6 %), and Montana (-1 %). Minnesota reported a 20 % increase, as a reaction to the hot/dry weather, which finally began to reverse the soggy conditions. The crop report estimated percent headed at 28 %, even with the five-year average, although slow, considering the quick, early planting pace.

Feed grain supplies are still quite large, even with the declining corn yields. Malting barley bids continue to be posted at $2.50, while feed barley prices have been unable to regain any ground and continue to be posted at $1.60.

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