U.K. Maltsters Cut Barley Demand

Winter barley crops in the United Kingdom are progressing well this spring, but demand from maltsters remains weak, a sign that lower consumption across the brewing and spirits supply chain is starting to weigh on the market.

Farmers Weekly reported on Tuesday that plantings of winter barley are running ahead of last year and that crop prospects are broadly positive. The publication said rising input costs tied to the conflict in the Middle East are unlikely to affect winter crops much because most planting decisions were already made. But higher fuel and fertilizer prices are putting pressure on spring barley growers, where margins are already thin.

Dry weather in parts of the U.K. is also raising concerns about spring barley establishment, which could limit total output in 2026. The winter barley area is expected to stay mostly unchanged from a year earlier, though any drop in spring plantings could still leave the overall crop smaller.

At the farm gate, feed barley prices averaged £154.7/t on April 24, according to Farmers Weekly’s market data. Traders said malting barley was still carrying a small premium over feed barley, but volumes being traded were low and demand was limited.

The bigger concern for growers is the sharp drop in demand from the U.K. malting sector. Farmers Weekly said barley use by brewers, maltsters and distillers fell by almost 20% year on year between July 2025 and February 2026. That decline reflects weaker demand for whisky and other spirits, which is feeding back through the supply chain and hitting farmers first.

Hamish Logan, associate director at Savills, told Farmers Weekly that many maltsters were signaling lower intake needs and some were delaying contract offers altogether. He said the uncertainty around 2026 contracts was forcing growers to rethink rotation planning and risk management, especially for those who rely on spring barley as a core crop.

Northumberland-based Simpsons Malt said global trade policies, tariffs and geopolitical events affecting exports of other cereal crops have also influenced barley prices. The company said that over the longer term, malting barley prices would likely remain volatile as global cereal demand grows while climate and trade risks persist.

Across Europe, barley plantings have also been moving ahead well, with analysts at the European Union’s Joint Research Centre saying crop conditions remain generally favorable because of mild temperatures and adequate soil moisture. The European Commission’s latest crop report projects EU barley yields at 5.15t/ha this harvest, up 3% from the five-year average.

The broader market remains under pressure from ample supplies and competitive imports. The U.S. Department of Agriculture has said large cereal stocks are adding downward pressure on prices in Europe at a time when geopolitical conflicts are threatening export potential for grain.