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Barley Market Update, Analysis, Forecast, 2017 – 2024

Author: Rohit Punetha
by Rohit Punetha
Posted: May 04, 2017
barley market

Global barley market is driven by North America owing to high consumption of beer and whiskey and presences of high disposable income. All the major industry players are located in the region making it a hub for overall barley market. Europe is also a key industry player as it is known for producing several local varieties of beer. Some of the major brewing countries in the region are Germany, UK, the Netherlands, Belgium, Austria, Poland and Czech Republic. In some countries including the U.S. and Canada, European style of brewing is adopted which favors the popularity of European barley market.

Barley Market size is excepted to witness a surge in demand owing to increase in consumption of alcoholic beverages that promotes product production to flourish the growing requirement for breweries. This industry is also derived by increasing demand for several types of convenience food items, clean label trends, emerging applications in food & beverage industry and a mounting need for natural ingredients.

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As a versatile cereal grain, barely pose rich nutlike flavor. Chewy feature of the grain gives it a pasta like appeal. It looks similar to wheat berries, only a little in color and is naturally high in maltose when sprouted. This sugary feature provides a base for malt and syrup sweeteners. After fermentation, it tends to be suitable ingredient in beer and other alcoholic beverages. The product has established to be known as a mitigatory risk of several disease and further provides other health benefits.

It provides several health vitamins and minerals that whole grains also provide. It is an essential source of vitamin C, carbohydrates, proteins and fatty oils. This makes product significant as an ingredient in various applications in the food industry. Traditionally, it was used as a food grain but now it is more used as brewing ingredient and a natural sweetener, fostering growth substantial barley market growth.

On the basis of grade, barely market can be segmented into malt grade, food grade and feed grade. Malt grade dominates the overall barley market due to excellent extract feature with low moisture grade and rich enzyme obtainability. Malt grade is also known for its high sweeting level as a food ingredient. However, feed grade and food grade will keep on losing their barley market share due to decrease in their consumption over the past years.

It is used in whiskey distilleries, beer industry, beverages, food industry and pharmaceutical industry. Beer industry is the main customer of the product and is responsible for its mass production. It is increasingly used in foods items. This would propel the growth of this industry.

Customers are cutting down consumption of alcohols and spirits due to the increasing health awareness these days, which pose a direct impact on the global barley market size. Moreover, there are various other negative factors tugging the overall product demand in the downward direction. These include pest and disease invasion, low soil fertility and frequent climatic change. In addition, entry of local players hampers the barley market share of large players as they offer products on low prices and this generate a wider customer base.

Whole grain is expected to grow in demand owing its high productivity for food times and nonalcoholic beverages. Along with malt, whole grain accounts for the maximum barley market share in the industry in coming years. However, flakes and pearl are anticipated to observe a marginal decline. Barley grits will pose a constant growth in this industry as it serves as suitable raw material for animal feed production.

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Asia Pacific, especially backed by China, South Korea, India and Australia, is showing quicker growth and is anticipated to lead the barley market over the forecast period. China is one the largest consumer of beer, though it has small local product production relative to demand. India is projected to witness a rapid growth, making it one of the fasting growing barley market. Globalization and increasing per capita income supports its critical expansion in alcohol production.

Key industry players of the barley market are Axereal, Cargill, Crisp Malting, Malteurop, Ireks and Muntons. Some of the other prominent players include GrainCorp, Global Malt, Maltexco, Briess Malt & Ingredients, Rahr Malting and Soufflet. In 2010, Cargill joint ventured with Mexico based beer manufacturer, Grupo Modelo, to supply high quality malt. This strategy strengthen the company’s policy of acquisition and collaboration for create effective product line.

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Author: Rohit Punetha

Rohit Punetha


Member since: Mar 29, 2017
Published articles: 124

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