BARLEY

GENERAL CHARACTERISTICS OF BARLEY

Barley (Hordeum vulgare L.), known as “Jau” in Hindi, is a cereal grain derived from an annual grass and ranks as the fourth most important cereal crop globally, following rice, wheat, and maize. It boasts adaptability and widespread cultivation, serving as a summer crop in temperate regions and a winter crop in tropical areas. Barley’s short growing season and relative drought tolerance make it a resilient crop, although it requires careful management throughout its growth and harvest stages. Traditionally used primarily as livestock feed, barley’s usage has evolved, with a significant portion now allocated to human consumption and barley malt production. Alongside other coarse cereals like corn/maize, sorghum (jowar), oats, pearl millet (bajra), finger millet (ragi), barley forms a vital group of cereal crops.

GLOBAL SCENARIO OF BARLEY PRODUCTION

Global barley production has ranged between 130-140 million tonnes annually in recent years, with a sharp increase to 158 million tonnes estimated for 2008-09. Major producers such as the European Union, Russia, Ukraine, Canada, Australia, Turkey, and the USA collectively contribute approximately 75% of the global production. Following corn, barley ranks as the second-largest globally traded coarse cereal, with major exporters including Ukraine, Russia, Australia, and the EU-27. Leading importers such as Saudi Arabia, China, and Japan primarily utilize barley for feed and malt production, with Saudi Arabia being the largest importer.

INDIAN SCENARIO OF BARLEY PRODUCTION

In India, barley is cultivated as a rabi crop, with sowing occurring from October to December and harvesting from March to May. Annual production has stabilized around 1.2-1.5 million tonnes, with production in 2008-09 estimated at 1.54 million tonnes. Rajasthan, Uttar Pradesh, Madhya Pradesh, Haryana, and Punjab are the major producers, with additional cultivation in Bihar, Himachal Pradesh, and Uttaranchal. Barley finds application in the beer industry, food processing industry, and feed manufacturing industry in India, with rising demand from the beer sector driving increased consumption of barley malt. Projected increases in beer consumption are expected to boost barley production to around 2 million tonnes in the coming years.

MAJOR INDIAN TRADING CENTERS

Key barley markets are situated in Rajasthan and Madhya Pradesh, with Kota, Ramganj Mandi, and Baran being the largest markets.

MARKET INFLUENCING FACTORS

Rising industrial demand, particularly from the beer and food processing sectors, is a significant influencing factor in the Indian market. Additionally, the price of other coarse cereals impacts demand from the feed sector and subsequently influences barley prices. Export demand, particularly from Middle Eastern countries, plays a significant role, with high export levels in 2007-08 and 2008-09 contributing to soaring barley prices. Reports of increasing beer consumption in India have attracted attention from global barley and barley malt producers, potentially altering supply-demand dynamics. Government policies, including Minimum Support Price (MSP) announcements, also influence market dynamics, although government procurement is rare due to limited surplus production in the country.