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Barley Market Revenue To Attain USD 49.54 Billion By 2032

22 November 2024

The global barley market is set for substantial growth, with revenue forecasted to rise from USD 32.40 billion in 2023 to USD 49.54 billion by 2032, achieving a strong CAGR of 4.96% during the forecast period. The key drivers of this growth include increasing demand in the food and beverage industry, especially for brewing and health-oriented products, along with rising livestock feed consumption and the expansion of agricultural practices in emerging markets.

Global Barley Market

Barley's health benefits play a significant role in driving market expansion. It aids in reducing diabetes risk by regulating blood sugar levels, improves appetite control with its high fibre and protein content, supports cancer prevention through its anti-inflammatory and antioxidant properties, promotes gut health as a prebiotic, and contributes to both heart and bone health due to its nutrient-rich composition. These health advantages have attracted consumers increasingly focused on sustainable and health-conscious diets, boosting demand for barley-based products.

Regionally, the European Union leads global barley production, accounting for 34% of output (47.86 million metric tons in 2023/2024), followed by Russia at 14%. Australia, Canada, and Turkey contribute 8%, 6%, and 6%, respectively. The UK, Ukraine, and Argentina collectively produce 13%. These regions support both domestic demand and exports, benefiting from technological advancements and sustainable farming.

Increased barley yields further enhance market stability and growth, driven by advances in high-yield seeds, precision farming, and improved management practices. These improvements boost productivity per hectare, stabilize prices, and strengthen the competitiveness of key producing regions. Higher yields also support efficient land use, promoting environmental sustainability and long-term industry viability.

In 2022, Australia led global barley exports, valued at $2.37 billion, benefiting from its vast agricultural resources. France followed with $1.84 billion, leveraging its strong farming sector. Argentina ranked third with $1.21 billion, boosted by fertile land and investments. Germany and Canada also contributed $964 million and $806 million, respectively, showcasing efficient barley production. Whereas China was the top barley importer in 2022, with $1.69 billion, driven by its livestock feed demand. Saudi Arabia, the Netherlands, Belgium, and Germany also recorded substantial import activity. This highlights the complexity of the global barley trade, with food and feed industries heavily influencing market dynamics across major exporting and importing countries.

Barley Key Takeaways: 

  • The global barley market is projected to grow from USD 32,404.07 million in 2023 to USD 49,542.71 million by 2032, with a CAGR of 4.96% from 2024 to 2032.
  • Barley offers numerous benefits, including improved digestion due to its high fiber content, reduced cholesterol levels, and stabilized blood sugar. It's also rich in vitamins, minerals, and antioxidants, supporting overall health.
  • Europe holds a dominant position in the barley market, accounting for over 41.23% of the share. Germany, France, and the UK lead in adoption, primarily due to its brewing and distilling industries.
  • Feed grade dominates the barley market, capturing over 47.34% share due to its high nutritional value for livestock and cost-effectiveness.
  • The organic barley segment grows rapidly at 6.47% CAGR, fueled by consumer demand for sustainable products and companies expanding organic offerings.
  • The Asia Pacific barley market, led by China and India, ranks second, driven by growing demand in beer production, livestock feed, and expanding agricultural practices in the region’s rapidly developing economies.
  • Declining soil fertility and adverse climate changes reduce barley yields, making cultivation difficult and threatening long-term agricultural sustainability.
  • Key trends in the barley market include rising interest in barley as a health food due to its high fiber content, growing demand in the plant-based food sector, and increased use in sustainable farming practices.
  • Companies are expanding their offerings of barley-based products, such as cereals and snacks, to cater to health-conscious consumers.

Barley Market Size and Forecast, By Region 2024 to 2032 

As of 2023, Europe leads the global barley market, commanding over 41.23% of the market share, largely fuelled by its thriving brewing and distilling industries. Countries like Germany, the United Kingdom, and France are major consumers, with barley serving as a vital ingredient in beer and whiskey production. Germany, famous for its beer culture, produces over 90 million hectoliters annually, with barley as the key grain for malt production. The Reinheitsgebot (German Beer Purity Law) further emphasizes the importance of barley in maintaining traditional brewing standards. In the UK, particularly Scotland, barley is essential to the whiskey industry. Scotland's distilleries, which produce renowned single malts, rely heavily on barley for the distillation process, contributing to the region’s premium whiskey output.

The deep-rooted heritage of brewing and distilling in these countries, combined with high consumer demand for quality beverages, ensures that Europe remains a leading force in the global barley market. This consistent demand from major breweries and distilleries secures Europe's substantial market share in barley production and consumption.

Meanwhile, the Asia-Pacific region, led by China and India, ranks as the second-largest barley market and is projected to grow at the fastest CAGR from 2024 to 2032. This growth is propelled by rapid economic expansion, population growth, and increasing consumer demand for food and beverages. For example, China’s booming beer industry has led to a sharp rise in barley imports to meet the growing need for brewing ingredients. In 2021, China imported over 9 million tons of barley, driven by its expanding beer market. On the other hand, India has seen rising barley consumption due to its growing livestock sector, as barley is a key feed ingredient. Furthermore, modern agricultural practices and advancements in brewing technology are being rapidly adopted across the APAC region. These developments are leading to more efficient and large-scale barley production, positioning APAC as an increasingly important growth market for both food and beverage applications.

  • In October 2023, Malteurop inaugurated a new malting plant in Meoqui, Chihuahua, Mexico, with a capacity of 120,000 tons annually. This facility enhances Malteurop's global standing in malt production while facilitating sustainable grain-to-glass operations. The establishment of a local barley supply chain reflects the company’s commitment to meeting economic demands and sustainability challenges in the growing Mexican market.
  • In June 2022, Anheuser-Busch and EverGrain inaugurated a significant production facility in St. Louis, part of a $100 million investment. This site will produce sustainable barley protein ingredients, creating local jobs. EverGrain focuses on transforming brewing barley into high-quality protein for diverse applications, with 98% of ingredients sourced from U.S. farmers, reflecting the company’s commitment to sustainable agriculture in the global barley market.

Market Overview 

The global barley market is a dynamic segment of the agricultural sector, characterized by diverse applications and significant demand fluctuations. Barley serves critical roles in the brewing, animal feed, and food industries, with malting barley commanding a substantial 41.56% share due to its essential use in beer production. The brewing industry, dominated by companies like The Anheuser-Busch InBev and Heineken, driving substantial demand for malted barley, which undergoes a malting process that converts starches into fermentable sugars. Meanwhile, the feed grade segment is significant, fueled by the growing livestock sector, where barley provides an energy-rich feed source. For instance, Cargill and Archer Daniels Midland Company leverage barley in their extensive animal feed portfolios. In recent years, there has been a notable shift towards sustainable practices. Initiatives such as EverGrain’s sustainable protein production highlight the barley sector's adaptability to changing consumer preferences and environmental concerns. Furthermore, the Whole Grain and Hulled Barley segments are witnessing growth, driven by increasing health consciousness among consumers. With these trends, the global barley market is poised for robust growth, meeting both traditional and emerging demands.

Barley Growth Factors 

  • The global increase in craft brewing and premium spirits consumption drives the demand for high-quality malting barley, significantly impacting production levels and market growth.
  • Growing livestock sector, particularly in regions like Asia-Pacific, increases the need for barley as a cost-effective feed source, supporting higher production and consumption levels in animal nutrition.
  • Adoption of sustainable and eco-friendly agricultural practices enhances barley yield and quality while meeting consumer demands for environmentally responsible products, fostering growth in the global barley market.
  • Innovations in barley cultivation, such as improved seed varieties and precision agriculture, boost productivity and resilience, contributing to increased global supply and market competitiveness.
  • Rising awareness of health benefits associated with whole grains, including barley, encourages consumption of food products, stimulating demand across various food and beverage applications in the market.

Market Scope 

Report CoverageDetails
Market Size by 2032 US$ 49.54 Billion
Market Size in 2023US$ 32.40 Billion
Market Size in 2024US$ 33.63 Billion
Market Growth rate from 2024 to 20324.96%
Largest Market Europe
Base Year2023
Forecast Period2024 to 2032 
Segments CoveredProduct Type, Grade, Nature, Packaging Type, Application, End-Use Industry, Distribution Channel
Regions Covered North America, Europe, Asia Pacific, Middle East & Africa, South America 

Market Dynamics 

Drivers 

Increasing Demand for Animal Feed Owing to Rising Livestock Production

The barley market is significantly propelled by the rising demand for animal feed, driven by expanding livestock production and increasing global meat consumption. Barley’s high energy content and digestibility make it a preferred ingredient in feed formulations. For instance, China, the world's largest pork producer, imported approximately 8.3 million metric tons of barley in 2022 to support its livestock sector. In the European Union, barley comprises around 20% of the total cereal feed used, highlighting its critical role in livestock nutrition. The USDA has noted that barley prices have increased in response to rising feed demand, particularly during peak livestock production periods. Approximately 40% of Canada’s barley production is allocated to animal feed, supporting the agricultural economy. Additionally, barley's environmental benefits, such as lower greenhouse gas emissions, align with the livestock industry's sustainability goals. As global meat consumption grows, the demand for barley in animal feed is expected to remain strong, shaping the future of the barley market.

Restraints 

Decline in Soil Fertility and Adverse Climate Changes 

The barley market faces significant challenges from declining soil fertility and adverse climate changes. Soil degradation affects around 33% of global arable land, leading to reduced barley yields, as seen in India, where nutrient depletion from overuse of fertilizers has harmed production. Climate change further impacts yields, with the IPCC projecting up to a 17% reduction in some regions by 2050. For instance, Europe’s 2018 heatwave caused a 10% drop in barley output, and Canada struggles with fluctuating weather patterns. These factors increase production costs and market volatility, straining industries like animal feed and brewing.

Trend 

Rising Interest in Barley as a Health Food

Growing consumer awareness of nutrition is driving an increased interest in barley as a health food. Known for its rich nutritional profile, barley contains beta-glucan, a soluble fibre that can lower LDL cholesterol, improve blood sugar control, and support digestive health. Research in the "American Journal of Clinical Nutrition" shows that beta-glucan significantly reduces cholesterol, benefiting cardiovascular health. Barley is now prevalent in health-focused products like cereals and snack bars. Additionally, the barley grass powder supplements is expanding, as it offers vitamins, minerals, and antioxidants. Companies are actively marketing barley’s health benefits, emphasizing its environmental advantages, such as lower water usage, which appeals to eco-conscious consumers seeking sustainable food options.

Opportunity 

Rising Demand for Malting Barley

The rising demand for malting barley offers significant opportunities in the barley market, driven by the expanding craft brewing industry and a preference for premium beers. Malting barley prices range from $250 to $300 per metric ton, compared to $180 to $220 for feed barley, highlighting its higher quality and profitability. In the 2022/2023 season, Canadian malting barley producers reported returns approximately 20% higher than those for feed barley. According to the American Malting Barley Association, about 90% of barley used in brewing is malting barley. Australia exports around 1.5 million metric tons annually, while Canada focuses on improving malting varieties through research. Ongoing innovations in breeding and sustainable farming practices will further enhance malting barley production to meet rising demand.

Segmentation Insights

Product Type Insights

Malted barley has become the dominant choice in the barley market, commanding over 41.56% of the market thanks to its crucial role in brewing and distilling. Malted barley undergoes a process that transforms starches into fermentable sugars, essential for producing beer and other alcoholic beverages. Major breweries, such as Anheuser-Busch InBev and Heineken, rely heavily on malted barley for their production processes. The consistent demand from these industries, combined with robust supply chains and established practices, reinforces malted barley's leading position in the market, highlighting its significance in the global beverage sector.

Meanwhile, the Whole Grain/Hulled Barley segment is rapidly growing, boasting a CAGR of 5.98%, largely due to heightened consumer awareness of health and nutrition. Whole grain and hulled barley are recognized for their high fiber content and various health benefits, making them popular in health foods, cereals, and as substitutes for rice and pasta. Innovations in food processing have enhanced accessibility, with brands like Bob’s Red Mill promoting whole barley products. The rising trend toward whole grains, supported by dietary guidelines, is evident in the expanding variety of barley-based snacks and functional foods that cater to health-conscious consumers.

Product List: 

Malted Barley FlourIreks Aroma Barley Malt K

Base Malts

Pilsen 6rh Malt

Malted Barley Snack 
- Barbecue
Pearled Barley

Base Malts

Pale Ale Malt

Pauls Malt – Angry Angler Roasted BarleyCaramel Malt 70Scoular Hulled Barley
Valley KingRoasted BarleyScoular Feed Barley
Sweetpure M Wheat & Barley Malt Syrup

Diastatic Malt Flours

(Barley)

Caramel Roasted Malts

Caramel Organic 240 Malt

Maltwise Wheat & Barley Malt SyrupMatlexco Barley FlourScoular Malting Barley
Everpro Barley Protein IsolateMuntons Roasted BarleyBarley Flakes

Grade Insights 

The feed grade barley segment leads the market due to its crucial role in animal nutrition, serving as a primary energy source and essential nutrient for livestock. Its dominance is largely driven by the burgeoning global livestock industry, with companies like Cargill and Archer Daniels Midland Company leveraging Feed Grade barley to sustain extensive operations in cattle, poultry, and swine farming. The increasing trend toward intensive livestock farming necessitates cost-effective feed solutions, reinforcing the demand for Feed Grade barley. Its affordability compared to other feed grains, coupled with its versatility across various animal types, contributes significantly to its market share. 

Conversely, the malting grade barley segment is witnessing the highest growth rate, with a CAGR of 5.88%. This growth is fueled by the rising popularity of craft beers and premium spirits, which rely on high-quality malts. Craft breweries such as BrewDog and Sierra Nevada have amplified demand for specific malting barley grades, enabling them to create distinct flavors and elevate product quality, thereby driving the segment's expansion.

Key Companies 

  • Archer Daniels Midland Company (ADM)
  • Boortmalt (Axéréal Group)
  • Cargill, Inc.
  • COFCO Corporation
  • EverGrain LLC
  • Grain Corp Ltd.
  • Grain Millers Inc.
  • IREKS GmbH
  • Malt Products Corp.
  • Malteurop Group
  • Matlexco SA
  • Muntons PLC
  • Soufflet Group
  • Other Prominent Players

Segments Covered in the Report 

  • By Product Type 
    • Whole Grain/Hulled
    • Non-Whole Grain
    • Hull-Less
    • Pot Barley
    • Pearl Barley
    • Barley Grits
    • Barley Flakes
    • Barley Flour
    • Malted Barley
    • Others
  • By Grade
    • Food Grade
    • Feed Grade
    • Malting Grade
  • By Nature
    • Organic
    • Conventional
  • By Packaging Type
    • Bags
    • Sacks
    • Drums
    • Others
  • By Application
    • Alcoholic Beverage
    • Non-Alcoholic Beverages
    • Livestock Diet
    • Breakfast Cereals
    • Food Products
    • Distilled Spirits
    • Others
  • By End-Use Industry 
    • Animal Feed
    • Food and Beverage
    • Brewing
    • Distilling
    • Nutraceuticals
    • Personal Care
    • Others
  • By Distribution Channel
    • Online
    • Offline
      • Hypermarket/Supermarket
      • Retail Stores
      • Others
  • By Geography 
    • North America
    • Europe
    • Asia Pacific
    • Middle East & Africa
    • South America

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