Export prices for barley in Ukraine are growing, but may turn down in the second half of the season

The rise in prices for feed wheat and corn and the depreciation of the hryvnia increased export demand and prices for Ukrainian barley.

For two weeks, export demand prices for feed barley in the ports of the Black Sea increased by 200-300 UAH/t to 9000-9100 UAH/t or 188-190 USD/t, and in the ports of the Danube – to 192-194 USD/t, while prices for feed corn reached 204-206 USD/t.

Traders are trying to buy the necessary parties of barley, but producers are holding back sales, although prices remain higher than in previous seasons.

In MY 2024/25 (as of December 15), Ukraine exported 1.9 mln tonnes of barley, which is twice higher than last year (946 thsd tonnes), but in December the exports decreased to 37 (72) thsd tonnes.

Demand prices for malting barley remained at 8800-9000 UAH/t with delivery to the plant for two weeks amid low malt prices and strong competition from European malt producers.

In MY 2024/25 (as of December 16), the EU reduced barley exports by 34% to 2.09 mln tonnes compared to the previous season, of which 512 thsd tonnes were delivered to Saudi Arabia, 306 thsd tonnes – to China and 262 thsd tonnes – to Algeria. The main exporters were Romania (1.2 million tons), France (398 thousand tons) and Germany (204 thousand tons).

Global demand for beer continues to decline, which, amid forecasts of increased barley harvest in the EU in the new season will continue to lower prices in the second half of the season.

According to the forecast of Coceral agency, in 2025 barley production in the EU and the UK will increase from 57.3 to 59.7 mln tonnes, in particular, from 50.4 to 51.9 mln tonnes in the EU and from 7 to 7.8 mln tonnes in the UK.

In MY 2024/25, Ukraine harvested 5.5 mln tonnes of barley (5.8 mln tonnes in 2023/24 MY), of which it will be able to export 2.5-3 mln tonnes (2.5 mln tonnes in the previous season).

Tags: Ukraine, barley, prices