The barley market in Ukraine shows potential for growth. This was reported by the analytical department of the First Ukrainian Agricultural Cooperative (FUAC), established within the Ukrainian Agrarian Council (UAC).

According to the FUAC, as of June 23, barley exports amounted to over 6,000 tons.

“This is an expected consequence of low reserves at the end of the season. The volume for export is currently limited, which is holding back activity in foreign markets,” the analysts commented.

The harvesting campaign has started in the southern region of Ukraine, where the yield in the first fields has been low, ranging from 1.15 to 2.5 tons per hectare.

“Given the weather challenges that have accompanied winter crops since February, the current yield figures seem quite predictable. The average barley yield in Ukraine is likely to be around 3 t/ha,” experts believe.

At the same time, tension is building in the market due to limited supply.

“We are seeing increased activity on the part of traders, particularly in connection with the approaching first shipments at ports. However, supply from producers remains subdued, creating a shortage in the spot market,” the FUAC reported.

Price expectations remain positive.

“At the end of June, the seasonal model shows conditional prices for barley in the range of USD196–200 per ton, while producers are targeting USD200–205. Given the limited supply, this is a realistic prospect for the coming weeks,” the experts summarize.