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E-Malt.com News article: Australia: High hopes for resurgence of barley industry in Queensland
Barley news

As growers prepare for harvest in the coming weeks, there are high hopes for a resurgence of the Queensland barley industry, with local demand for malt varieties expected to double this year, Queensland Country Life reported on October, 21.

The Barrett Burston Malting (BBM)-owned malt house at the GrainCorp Pinkenba (Brisbane) port terminal began operations at the start of the year and has doubled the need for malt barley in Queensland, with plans to process 100,000 tonnes of barley per annum to service Carlton and United Breweries and the export market.

Previously, Queensland growers serviced malt houses at Toowoomba and Tamworth.

With more than 80 percent of barley grown in Queensland being feed grade, the search is now on for a malting variety which suits local conditions, to meet the growing demand.

As a result of the current local supply shortage, malt varieties are attracting price premiums up to A$60/t above feed-grade barley, more than double the usual malting premium.

Barley plantations have expanded across Queensland with growers hoping the feed variety Shepherd, proving well suited to local conditions, could be recognised as malting barley.
Shepherd is a high yielding variety with a medium quick maturity and found to possess good levels of leaf rust resistance, compared to malt variety Grout, which has also been previously widely grown in southern Queensland.

Shepherd entered Barley Australia's commercial malting and brewing evaluation program this year and a decision is expected to be made by 2013.

Some growers have also had success with the already malt accredited varieties, Grimmet and Commander.

Agforce Grains President Wayne Newton said more Queensland growers could be attracted to growing malt barley if the varieties could reliably achieve malt status and seasonal conditions remained steady.

Queensland Department of Employment, Economic Development and Innovation grains biosecurity officer Kym McIntyre said there could be a resurgence in barley growing, provided a variety could be found which meets the malting demands.

She said the Pinkenba malt house operations could add A$2 million to the bottom line of Queensland barley growers.

Australia is forecast to be the only barley producer in the world to increase production in 2011, with fortuitous seasonal conditions and steady export and domestic growth raising hopes for strong results for Queensland growers as they prepare for harvest in the coming weeks.

The latest agricultural prospects update from DEEDI has revealed mixed results for the state's barley industry, which is expected to increase in value by 36pc in 2011.

DEEDI revealed last week that the Queensland areas planted to barley had increased this year, to a total of about 66,000 ha, reportedly due to bullish market conditions for coarse grains.

Demand for coarse feed grains continues to be strong in the US and is growing in Asia as increasing household incomes fuel demand for grain-fed meat.

Across Queensland, growers have seen favourable conditions to date this winter and spring.

Despite planting rains from the second week of May to mid-June being patchy, as of early August, there were reports of good subsoil moisture over most Queensland barley-growing areas.

Crop yield across the state is expected to increase by around 38pc, with total production nudging 190,000t for this year, where most is feed grade for the domestic market.

Despite a 15pc decline in world barley closing stocks, the world barley indicator (which is French Rouen feed barley) is forecast to average 7pc lower than 2010-11 at US$260/t, due to an increase in production in all the major barley-producing nations.

Domestically, there is predicted to be a 2pc fall in the feed-grade barely price to A$235/t ex Brisbane port, with malting barley commanding an average A$20-A$25/t price premium.

The latest news comes on the back of a difficult year of rebuilding for growers after around half of the barley from the east coast of Australia was downgraded to feed quality in 2010, due to the destructive rainfall and floods.

Yandilla grower Kent Wright, Gilbrook, who had changed from Grout to Shepherd variety this year, said while he had only been able to harvest about 20pc of his 110ha crop in 2010, having scaled back to 70ha this year and seeing no real diseases, he was hopeful of a strong harvest.

TL&SF Vary agronomist Kevin Loveday, Brookstead, said former AgForce grains president and Millmerran grower Lyndon Pfeffer's Shepherd-variety barley was among the best crops he had seen in all his years in the industry.

Mr Loveday predicted the yield for Mr Pfeffer's Shepherd variety barley crop could reach 5t/ha.

"Lyndon planted it straight into sorghum stubble and he put a fair amount of nitrogen underneath it. It's had a lot of rain - when it was really needed, it got it," he said.

"He did the right thing with nutrition. He planted the right variety and he's had a pretty good winter and spring. It's spectacular."

Mr Loveday said that while many growers had not planted winter crops this year, instead directing their focus on a strong upcoming summer plant, those who had planted barley were pleased with the results so far.

Mr Pfeffer said he planned to begin harvesting in the next fortnight, with the product heading into the feed market.

"The timely rain at the end of August and the rain in the last couple of weeks has boosted the yield potential - we have not got as much disease in the crops as we did last year," he said.

"People have been able to handle their crops with fungicides, where last year, we had that white grain disorder (Botryosphaeria head blight BHB). That is not prevalent this year and may not be an issue. It's not turned up out west yet, but it's too early to tell in our area."

He said it was his first barley crop in a decade, but believed there had been a resurgence in the crop across the Darling Downs in recent months as growers looked for other options to wheat.

While significant production harvests forecast across Europe and Canada are expected to push down prices, Barley Australia executive chairman Andrew Gee said Australian malting barley growers should take heart from the continued export growth into Asia, particularly China, which is the world's largest beer-consuming nation, and has seen steady annual export growth with Australia of more than 10pc.

About half of Australia's barley is exported, with 600,000t of malt exported into the Asian regions, for earnings of about A$300 mln.

While not often discussed, Mr Gee said there was also "steady" growth of Australian feed barley into the Middle East, particularly Saudi Arabia where it is used to nourish camels belonging to the country's royal family.

Despite heavy rain at the weekend, Queensland growers will continue to keep their fingers crossed over the following weeks for stable weather as the harvest dates loom.

"Now we just want a good finish," Mr Gee said. "We've had almost perfect growing conditions so far this year and we'd just love a perfect finish - a nice amount of sun now and no rain for harvest, so everyone can be happy."


21 October, 2011

   
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