Barley market remains volatile
September 21, 2017
The Australian barley market continues to be volatile with Chinese feed buying interest remaining well below Australian replacement levels, as Chinese domestic corn auctions and US sorghum demand satisfy the feed sector in the near term.
From a malt point of view, markets remain very quiet, as the Australian quality profile remains unknown. Areas of the EU have received very heavy rain at harvest. This has meant quality selection rates have been reduced, which means third party exports will remain thin out of the EU this year. Chinese malting customers also remain quiet as they struggle to adjust to the new price environment following last year’s record crop. Canadian malting barley remains relatively well priced compared with Australian barley at this stage.