Barley prices in Ukraine continue to rise due to low supply

In Ukraine, active harvesting of late crops continues in difficult conditions (with high humidity and prolonged rainfall), so farmers are practically not engaged in sales and deliveries of grain for export, which limits supply at ports. Because of this, traders are forced to raise purchase prices to attract volumes.

 

Over the week, export demand prices for feed barley in Ukraine increased by another 50-100 UAH/t to 10,400-10,500 UAH/t or $217-220/t with delivery to Black Sea ports and exceeded the maximum price levels at the beginning of the season.

 

An additional factor in the decline in supply from producers is the sharp increase in the cost of both road and rail delivery to ports by 10-20% per month or 200-400 UAH/t, so producers expect a decrease in transportation prices, which usually occurs after the completion of the harvest of late crops. This will restore active supplies of barley, wheat and corn for export.

 

It is worth noting that there is practically no demand for brewing barley in Ukraine, and malt producers complain about strong competition with European producers and the inability to sell expensive Ukrainian malt for export.

 

The next international tender for the purchase of feed barley demonstrates an increase in demand prices, which also supports feed barley prices in Ukraine.

 

According to European traders, Jordan's state grain purchaser MIT, within the framework of an international tender on November 5, purchased 60 thousand tons of feed barley of any origin (out of the planned 120 thousand tons) at a price of $269.25/ton C&F from Bunge with delivery in the first half of January 2026, which slightly exceeds the purchase price at the end of August - $264.25/ton C&F.

 

It is also noted that the price offers for grain at the tender were voiced by such operators as: Cargill ($267.74/t), Dreyfus ($266.00/t), Ameropa ($275.00/t), (Olam $269.50/t) and Agrocorp ($276.00/t) C&F.