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📦 Barley

Barley

HS Code:

📦

Overview

Barley (HS Code: 1003) is a major cereal grain grown in temperate climates globally. It is primarily used for animal feed, malting for beer and whiskey production, and to a lesser extent, human consumption. Barley is a key agricultural commodity in international trade due to its versatility and importance in food security. Its trade is influenced by factors such as weather conditions, demand for beer production, and livestock feed requirements.

Total Trade Volume

Approximately 30 million metric tons

Data from 2022

Source

United Nations Comtrade Database, International Trade Centre (ITC)

Tariff Analysis

Average Rate

5.2% ad valorem

Highest Rate

35% (applied by certain developing countries for food security reasons)

Lowest Rate

0% (under free trade agreements such as EU internal trade or CPTPP)

Common Restrictions

  • Import quotas to protect domestic farmers
  • Phytosanitary regulations to prevent pest and disease spread
  • Seasonal tariffs in some countries to manage supply
  • Export restrictions during global supply shortages

Market Trends

Rising demand for malting barley

Increased exports from countries like Australia and France to meet demand from the global craft beer industry.

2021-2022

Climate change affecting yields

Unpredictable weather patterns have led to reduced harvests in key regions like Ukraine, impacting global supply and prices.

2020-2022

Shift towards sustainable farming

Growing preference for sustainably grown barley in Europe and North America, influencing trade patterns and premiums for certified products.

2019-2022

Recent Developments

Russia-Ukraine Conflict Disrupts Barley Trade

The ongoing conflict has severely impacted barley exports from Ukraine, a key supplier, leading to supply shortages and price spikes in 2022.

February 2022 onwards

Increased reliance on alternative suppliers like Australia and Canada, with higher shipping costs and market volatility.

China-Australia Trade Tensions Ease

China lifted punitive tariffs on Australian barley in 2023 after a period of diplomatic tensions, resuming imports from one of its largest suppliers.

August 2023

Boosted Australian barley exports, stabilizing prices in the Asia-Pacific region and benefiting Chinese brewers and livestock sectors.

EU Implements Stricter Import Standards

The European Union introduced stricter pesticide residue limits for imported barley to align with its Green Deal objectives.

January 2023

Non-EU exporters face higher compliance costs, potentially reducing trade volumes from countries unable to meet standards.