In Ukraine, the harvesting season started with barley harvesting. Due to the weather conditions in the south, the grain is recorded with low natural content, and there is also a problem of lodging of barley, which will negatively affect the crop yield. This situation will contribute to the growth of barley prices, and the global market is also on an upward trend. However, during the harvesting period, we can expect a temporary decline in demand and prices for barley.
This was discussed on June 27 during a weekly briefing organized by the analytical center of the PUSK cooperative, created within the UAC.
"In Ukraine, the indicative price for barley is 130 USD/t, and it may rise to 145 USD/t in the near future. Given the weather factors, the supply will not increase this week. The barley harvest can be expected after July 15, and before that, the lack of supply may push prices up. July will be an extremely unstable month in the barley market and the most unfavorable for sales: despite the fact that the low harvest will support prices, the marks risk falling to 125USD/t. However, in August, the market will start to grow, reaching at least 190-200 USD/t, and the maximum prices may be seen in December," the analytical department of PUSK said.
The world markets have become more active after the recent "rebellion" in Russia, reacting with the growth of grain prices. China is projected to buy 7 million tons of barley, and currently contracts a lot with France, but will not be able to cover such a volume from one country. Ukrainian barley will be in demand from China, but logistics remains a problem for supplies from Ukraine.
Tuesday, 27 June 2023