11 October, 2006

EU: Alternatives for the malting industry suggested by analysts

Stressing the fact that EU has a deficit of 1 million t of malting barley of traditional quality specifications, analysts analyzed proposed October 02 some alternatives for the malting industry:

1. Imports from 3rd countries - very unlikely, as Australian barley is far too expensive for export to Europe, Canada cannot overcome their logistics problems, any surplus in South America would be small, and technical problems in the Ukraine will probably prevent large-scale exports from that country.

2. Usage of second grade barley: higher protein, lower full barley contents, lower germination and sprouted grains, barley of compromise and feed varieties, etc.

3. Reduction of malt production. This will be the case in those regions, where the crop is particularly poor and transport cost of barley from other EU areas excessively high. It will also be an automatic consequence of production stops in insolvent factories.

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