by Barley is one of the most important cereal crops grown in Latin America. It is widely used in the brewing industry for producing beer. The increasing population and changing lifestyle and food habits have boosted the demand for beer in the region. Furthermore, the rising trend of consumption of craft beer among youth population is also fueling the growth of the barley market. Craft beer is produced by small and independent brewers using traditional brewing methods. It often uses barley as the main ingredient and imparts uniqueness in the taste.
Barley is widely cultivated across major countries in Latin America such as Brazil, Argentina, Mexico, and Chile. It is used as a raw material in the brewing, distilling and livestock industries. The seeds of barley contain starch, protein and fiber which provides energy and various health benefits. It helps in improving gastrointestinal health, managing weight and reducing inflammation in the body. The barley extracts also find application in nutraceuticals and pharmaceutical industries.
The global Latin America Barley Market is estimated to be valued at US$ 3.44 Bn in 2023 and is expected to exhibit a CAGR of 3.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Product Innovations- There is a significant rise in demand for innovative barley-based food and beverage products such as barley tea, barley water and barley coffee. Major companies are focusing on developing variety of ready-to-drink beverages using barley extracts to cater to changing consumer preferences. For instance, Anheuser-Busch InBev launched a craft beer brand named Budweiser in Latin American countries in 2019 made from barley and hops.
Porter’s Analysis
- Threat of new entrants: The Latin American barley market has moderate threat of new entrants due to established distribution channels and brand recognition of existing players.
- Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes like wheat, oats and corn.
- Bargaining power of suppliers: Suppliers have moderate bargaining power due to differentiated products and contracts with buyers.
- Threat of new substitutes: Substitutes like wheat, oats and corn pose moderate threat to barley.
- Competitive rivalry: The market has high competitive rivalry due to presence of many global and regional players.
Key Takeaways
The Latin America barley market is expected to witness steady growth over the forecast period. Brazil dominates the Latin America barley market owing to increasing consumption in animal feed industry. Argentina is another major market due to favorable climatic conditions for barley cultivation. The global Latin America Barley Market is estimated to be valued at US$ 3.44 Bn in 2023 and is expected to exhibit a CAGR of 3.5% over the forecast period 2023 to 2030.
Regional analysis –
Latin America accounts for around 5% of global barley production led by Brazil and Argentina. Brazil is the largest producer of barley in Latin America on account of increasing demand from brewing industry. Argentina is also a significant producer valued for its high quality malting barley.
Key players – Key players operating in the Latin America Barley market are Grain crop Limited, Malteurop Group, Soufflet Group, Crisp Malting Group, Global Malt Gmbh & Co. Kg, Ireks Gmbh, Muntons Plc, Maltexco S.A., Grain Millers, Inc, EverGrain, Malt Products Corporation, and Briess Malt & Ingredients Co. The market is consolidated with top players accounting for majority market share.
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
