Barley output may rise 15% on high prices

With growing demand, barley farmers are expecting good returns this year. Barley production this season (2010-11) is seen at 1.5 million tonnes (mt) as against 1.3 mt in the last season.

Barley is a rabi crop, sown during October-December and harvested in summer. Last season, due to good rainfall, farmers in the state preferred mustard over barley, which resulted in less area under the crop.

Last season, the area under barley in Uttar Pradesh, a leading producer, declined to 162,000 hectares as against 202,000 hectares targeted. Similarly, in Haryana the area under barley was 38,000 hectares as against 50,000 hectares targeted.

This year (2011-12), officials believe area would increase. The higher prices fetched last season are expected to attract more farmers to barley compared to other rabi crops. Senior officials in Haryana State Co-operative Supply and Marketing Board (Hafed) said barley farmers in Haryana had received better prices which could lead more farmers to join in.

As against the minimum support price (MSP) of Rs 780 a quintal for barley, farmers in Haryana received prices up to Rs 1,400 a quintal. In Rajasthan, farmers received prices up to Rs 1,200 a quintal, much above the MSP.

Barley, which earlier was considered a fodder crop, is now gaining prominence among health-conscious individuals as well as malt manufacturers. Rajasthan and Uttar Pradesh are the main contributors for barley in India, contributing 70 per cent of the total production.

Contract farming by liquor companies is expected to trigger increase in the malt barley area in coming years. Increased beer consumption has now forced liquor companies to go for contract farming, thus, ensuring farmers a remunerative price.

Last year, 2,240 hectares under contract farming was covered by Hafed under barley. This year, officials are targeting 4,856 hectares under contract farming.

Hafed officials maintained this year two liquor companies had approached it for contract farming of barley in the state.

From 2005-06 , SabMiller India is engaged with farmers in Rajasthan under a malt barley development programme. The company claims the area in Rajasthan, where the company has started operations, has shown significant rise.