Malting barley demand in June 'lowest figure on record'

Demand for malting barley was down 29% in June 2020 compared to last year
Demand for malting barley was down 29% in June 2020 compared to last year

Malting barley demand in the UK was down 29 percent year on year in June, the lowest June figure on record, according to new figures.

In June 2020 UK brewers, maltsters and distillers used 116.9Kt of barley, AHDB’s latest statistics on cereals usage show.

This is 29% lower than June 2019 and the lowest June figure in AHDB's electronic records, which go back to July 1990.

The figures highlight the continuing impact of the coronavirus crisis on the industry.

It means that in 2019/20 a total of 1.77Mt of barley was used by the sector, 6.4% less than 2018/19.

Helen Plant, senior analyst for AHDB cereals & oilseeds, said this was a very different story to what was expected before the full extent of the outbreak became apparent

She said: "In February, Human and Industrial (H&I) usage of barley in 2019/20, which also includes a small amount of food usage along with usage by brewers, maltsters and distillers was forecast to rise by 2%.

"By May, a drop of 5% in H&I usage compared to 2018/19 was forecast in the AHDB balance sheets, suggesting that at least 117Kt of barley demand had been lost due to the pandemic.

"The June usage figures, depending on food usage of barley, suggest that this figure could be slightly higher still."

Ms Plant added: "The end of season estimates will take into account the full season usage and trade data and are typically released in the second half of September."

Pubs and restaurants were able to re-open in England from 4 July, with indoor service in Scotland from 15 July and in Wales this week.

However, AHDB said it was far from ‘business as usual’ with consumer confidence impacted and social distancing measures reducing capacity.