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Manthan1709

Apr 3, 2025

India’s Barley Market Strengthens As Production Declines

India’s Barley Market Strengthens As Production Declines

India’s Barley Market Current Prices Offer Strong Profit Potential for Traders

Barley production in India is set to decline this season due to reduced sowing and lower yields caused by rising temperatures. Key barley-growing regions include Alwar, Bharatpur, Jaipur, Tonk, and Kota in Rajasthan, as well as Jabalpur, Multai, and Chhindwara in Madhya Pradesh, and Kannauj, Hathras, and Hapur in Uttar Pradesh.

Last year, India’s barley output stood at 22,50,000 tonnes, but this year, estimates suggest a reduced crop of only 19,25,000 tonnes. Farmers have already begun threshing in several regions, and reports confirm lower productivity per hectare in both Rajasthan and Madhya Pradesh. Warmer weather after mid-January significantly affected the crop’s development.

Demand From Industries And Stockists Supports Price Recovery

Barley demand from food and brewing industries remains firm, and new buying interest from stockists has supported prices. Old stock that remained unsold earlier is now witnessing stronger demand.

Currently, barley prices have eased from their earlier highs. In producing regions, loose barley is now trading at USD 0,22–0,23 per kg, down from opening levels of USD 0,26–0,27 per kg. However, prices in Rajasthan’s Sri Ganganagar are slightly higher, quoted at USD 0,24–0,25 per kg. In Delhi, older stocks have corrected by USD 0,03 per kg, but the sentiment remains positive.

Price Snapshot – Barley (April 2025)

Positive Trade Outlook With Minimal Risk

Due to falling inventories and limited fresh supply, traders expect a price increase of USD 0,03–0,04 per kg in the near future. Barley currently trading at USD 0,22–0,23 per kg presents little downside risk, making it an attractive option for stockists and traders.

With strong demand and a clear production shortfall, the barley market is showing signs of sustained recovery. Traders positioned at current levels could benefit significantly from expected gains.
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