# Barley: Extraction

Why barley thrives where wheat struggles

Source page: https://www.materialinsights.org/commodities/barley/extraction/

What this tab covers How it is mined, drilled or grown, and processed into a tradeable form: the main methods compared, their unit economics, by-products, and the companies that do this work globally and in India.

Barley is among the hardiest cereals. It matures quickly and tolerates cold, drought and salty soils better than wheat. Farmers sow winter barley in autumn and spring barley in spring, then combine-harvest it in summer. Each crop is graded. Plump, low-protein grain that germinates well earns a premium as malting barley. The rest goes to feed. Maltsters steep, sprout and kiln the grain to unlock its starch for brewers and distillers. Feed barley is rolled or ground for cattle, pigs and camels.

Barley is grown in three broad systems. Large mechanised dryland farms in Russia, Australia, Canada, Kazakhstan and Argentina produce most export grain at modest yields. Intensive European farms reach 5.5-6 t/ha and grow most malting barley. Smallholders in North Africa, the Middle East, Ethiopia and India grow barley on marginal land for food and feed. After harvest, grain is either malted or fed. Malting turns barley into a tradeable brewing input and is a concentrated industry; feed barley trades as a commodity grain that competes with maize and wheat.

#### Methods compared

| Method | Share of supply | Typical scale | Recovery / efficiency | By-products | Unit cost |
|---|---|---|---|---|---|
| **Mechanised dryland farming (Black Sea, Australia, Canada, Kazakhstan)** | Russia, Australia, Canada, Ukraine and Kazakhstan grew about 55 Mt, 36% of world output, in 2025/26 (USDA, derived) | Yields: Russia 3.03 t/ha, Australia 3.48, Canada 4.27, Kazakhstan 1.57 (USDA 2025/26) | n/a | Straw for bedding and fodder | Cost per tonne not available from the sources used; the US average farm price was $5.46/bu (about $251/t) in 2025/26 (USDA WASDE Oct 2026) |
| **Intensive European and UK farming** | EU and UK grew about 62.9 Mt, about 41% of world output, in 2025/26 (USDA, derived) | Yields: EU 5.63 t/ha, UK 6.07 t/ha (USDA 2025/26) | n/a | Straw | Not available from the sources used |
| **Smallholder and marginal-land farming (North Africa, Middle East, Ethiopia, India)** | Turkey, Iran, Ethiopia, Morocco and India grew about 13.4 Mt in 2025/26 (USDA, derived) | Yields: India 3.16 t/ha, Ethiopia 2.47, Iran 1.82, Turkey 1.46, Morocco 1.19 (USDA 2025/26) | n/a | Straw for fodder | Not available from the sources used |
| **Malting (steeping, germination, kilning)** | Malt capacity is concentrated: Boortmalt about 3.1 Mt (2025) and Soufflet 2.36 Mt plus United Malt's 1.25 Mt acquired in 2023 (Grain Central, inside.beer) | UB-Soufflet Rajasthan: 110 kt malt a year from early 2028; Boortmalt 27 plants | Indicative (basis: UB-Soufflet plan of up to 250 kt barley for 110-220 kt of malt): roughly 1.1-1.3 t of barley per t of malt | Malt rootlets and screenings for feed | Not available from the sources used |

#### How each method works
**Mechanised dryland farming (Black Sea, Australia, Canada, Kazakhstan)**

Large farms sow spring or winter barley with air seeders, use limited fertiliser and harvest with combines. Rainfall decides the crop. Grain moves by rail to export terminals at Novorossiysk, Western Australia and Vancouver.

Low cost and large export surpluses; output swings with drought.
 USDA PSD and WASDE (Oct 2026) **Intensive European and UK farming**

High-input winter and spring barley on fertile soils with fungicides and nitrogen management. Spring barley is often grown for malting under contract with maltsters, with tight protein limits.

High, reliable yields and malting quality; higher input cost per hectare.
 USDA PSD (Oct 2026) **Smallholder and marginal-land farming (North Africa, Middle East, Ethiopia, India)**

Barley is sown on dry, saline or high-altitude land where wheat fails, often rainfed, with little fertiliser. In India it is a rabi crop in Rajasthan, Uttar Pradesh and Madhya Pradesh, much of it irrigated, with a growing share under maltster contracts.

Hardy and food-secure; low yields and drought-driven import surges (Turkey imported 1.4 Mt in 2025/26).
 USDA PSD (Oct 2026) **Malting (steeping, germination, kilning)**

Clean barley is steeped in water, germinated so enzymes form, then kilned to stop growth and dry it. Rootlets are removed and sold as feed. Plants range from 16,500 t of malt a year (Soufflet, Alwar) to over 100,000 t.

Adds value and premium for growers; overcapacity in 2025 led Boortmalt to cut up to 300 kt and Soufflet about 245 kt.
 inside.beer (Dec 2025, Feb 2026); Grain Central (Jul 2023) Unit economics are indicative ranges from the sources named; costs vary widely by deposit, region and year.

#### Who does it: global

| Company | Country | Activity | Volume | Year | Source |
|---|---|---|---|---|---|
| **Boortmalt (Axereal group)** | Belgium/France | malting | 3.1 Mt malt capacity (27 plants, before cuts of up to 0.3 Mt) | 2025 | [inside.beer (17 Dec 2025)](https://www.inside.beer/news/detail/belgium-boortmalt-cuts-global-malting-capacity-by-nearly-10) |
| **Soufflet Malt (InVivo group)** Combined capacity after the United Malt deal not published; inside.beer called Soufflet the world's largest malting group in Dec 2025. | France | malting | 2.36 Mt malt capacity (28 malthouses) before adding United Malt Group's 1.25 Mt | 2023 | [Grain Central (3 Jul 2023)](https://www.graincentral.com/?p=214257) |
| **Viterra (part of Bunge since 2025)** Barley volumes not published. | Netherlands/US | grain origination and export (Australia, Canada, Argentina) | not published | 2025 | [company reports](https://www.viterra.com) |
| **CBH Group** Barley volumes not published here; Australia exported 11.5 Mt in 2025/26 (USDA). | Australia | grower cooperative; storage and export from Western Australia | not published | 2025 | [company reports](https://www.cbh.com.au) |
| **COFCO** Volumes not published; China imported 14.0 Mt in 2025/26 (USDA). | China | state grain trader and importer | not published | 2025 | [USDA PSD](https://www.cofco.com) |
| **Saudi General Food Security Authority (GFSA)** Tender volumes not published here; Saudi Arabia imported 4.9 Mt in 2025/26 (USDA). | Saudi Arabia | state tenders for feed barley | not published | 2025/26 | USDA PSD |

#### Who does it: India

| Company | Country | Activity | Volume | Year | Source |
|---|---|---|---|---|---|
| **United Breweries (Heineken group)** | India | brewer; partner in new Rajasthan malthouse | 0.11 Mt malt capacity planned (phase one), sourcing up to 0.25 Mt barley from over 50,000 farmers | 2028 (planned) | [Business Today and inside.beer (20 Feb 2026)](https://www.businesstoday.in/amp/markets/stocks/story/united-breweries-soufflet-malt-partner-to-set-up-11-lakh-tonne-capacity-malthouse-key-details-517206-2026-02-20) |
| **Soufflet Malt India** | India | malting (Alwar, Rajasthan); EUR 100 million new plant in southern Rajasthan | 0.0165 Mt malt capacity at Alwar (16,500-18,000 t) | 2026 | [inside.beer (20 Feb 2026)](https://www.inside.beer/news/detail/india-soufflet-invests-eur-100m-to-expand-heineken-partnership) |

India grew about 1.92 Mt of barley on 0.61 Mha in 2025/26 and used 2.02 Mt, of which 1.75 Mt was food, seed and industrial (mainly malting) and only 0.27 Mt feed (USDA PSD). Rajasthan is the main growing and malting state. The UB-Soufflet malthouse would raise contract demand for malting barley from 2028.

## Other sections

- [Summary](https://www.materialinsights.org/commodities/barley/index.md)
- [Overview](https://www.materialinsights.org/commodities/barley/overview/index.md)
- [Correlation](https://www.materialinsights.org/commodities/barley/correlation/index.md)
- [Production](https://www.materialinsights.org/commodities/barley/production/index.md)
- [Stocks](https://www.materialinsights.org/commodities/barley/stocks/index.md)
- [Cycles](https://www.materialinsights.org/commodities/barley/cycles/index.md)
- [Trading](https://www.materialinsights.org/commodities/barley/trading/index.md)
- [Movement](https://www.materialinsights.org/commodities/barley/movement/index.md)
- [Criticality](https://www.materialinsights.org/commodities/barley/criticality/index.md)
- [Characteristics](https://www.materialinsights.org/commodities/barley/characteristics/index.md)
- [Emissions](https://www.materialinsights.org/commodities/barley/emissions/index.md)
- [Relationships](https://www.materialinsights.org/commodities/barley/links/index.md)