Barley market in Chile

Earlier Report Observations

The Chilean barley market volume expanded to 263.0 thousand tonnes in 2019, a peak for the period, supported by the introduction of new high-yield varieties like 'Cosmopolitan' and 'Barke' and a strategic plan to increase contracted planting area to nearly 25 000 hectares. Maltexco's active promotion of Chile as a producer of quality brewing malt for the growing local beer industry further bolstered market prospects during this growth phase.

Following the 2019 peak, the market volume entered a multi-year contraction, falling to 159.6 thousand tonnes by 2022. A primary driver was the strategic decision by the major processor, Compañía de Cervecerías Unidas (CCU), to source no more than 50% of its needs from domestic barley, which reduced incentives for local farmers. This was compounded by persistent difficulties in attracting growers due to more attractive prices for alternative crops such as wheat, oats, and corn. In 2022, tight global barley availability in key exporting regions like Europe and the Black Sea area further impacted supply and contributed to the market's decline.

By 2023, the market volume showed signs of stabilization at 151.2 thousand tonnes, as domestic production recovered to 151.5 thousand tonnes. Throughout the analyzed period, the market structure remained concentrated, dominated by two large buyers, Malta del Sur and Maltexco, who supplied both the domestic brewing and food industries and exported to various Latin American countries.

Production barley in Chile

In kind, 2018-2021, K t

Top producers of barley, 2018-2021

World map of production of barley, 2018-2021

Chile's barley production declined for the second consecutive year. In 2021, Chile produced 157.5 thousand tons of barley, marking a significant drop of 18.4% from 2020. Over the period from 2018 to 2021, production decreased by 7.7%, with a compound annual growth rate of 2.6%. The highest production level was recorded in 2019 at 210.9 thousand tons, which also saw the largest increase of 23.6%.

Annual dynamics of production in Chile in kind, 2018-2021, K t

Exports barley from Chile

Exports in kind, t

The market exhibited volatility during the observed period. Exports reached their lowest point in 2019 at 3 tons and peaked in 2020 at 702 tons, representing a 234-fold difference between these years. In 2021, Chile's foreign barley supplies amounted to 450 tons, showing a sudden decline of 35.9% compared to the previous year. The largest decline occurred in 2019 at 96.6%, while the largest increase was recorded in 2020 at 23,314.7%.

Annual dynamics of product's exports from Chile in kind, 2018-2021, t

From 2018 to 2021, Chile's barley exports were primarily directed to Peru, which accounted for 96.8% of total exports in volume terms.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Chile in kind, 2018-2021

Exports in value, K $ US

The data reveals irregular changes, indicating a volatile market environment. Export volumes hit a low in 2019 at 4 thousand US dollars and peaked in 2020 at 253 thousand US dollars, with a top-to-bottom ratio of 70 times. In 2021, Chile's barley exports amounted to 164 thousand US dollars, showing a sharp reduction of 35.3% year-over-year. The largest decline was recorded in 2019 at 86.2%, while the largest increase occurred in 2020 at 6,929.1%.

Annual dynamics of product's exports from Chile in value, 2018-2021, K $ US

Over the period from 2018 to 2021, Chile's barley exports were largely oriented towards Peru, whose share in total exports in value terms reached 94.3%.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Chile in value, 2018-2021

Imports barley to Chile

Imports in kind, t

Chile's imported barley volumes declined for the second consecutive year. In 2021, Chile imported 34,800 tons of barley, showing a steep fall of 33.6% compared to 2020. Over the period from 2018 to 2021, imports decreased by 30.5%, with a compound annual growth rate of 11.4%. The maximum value was recorded in 2019 at 52,121 tons, which also saw the largest increase of 55.0%.

Annual dynamics of product's imports to Chile in kind, 2018-2021, t

From 2018 to 2021, barley imports to Chile were supplied almost exclusively from Argentina, which absorbed 98.7% of total imports in volume terms.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Chile in kind, 2018-2021

Imports in value, K $ US

The market showed signs of volatility over the observed period. Import volumes varied 1.9 times, with a low in 2018 and a high in 2019. In 2021, foreign barley supplies to Chile reached 9,228 thousand US dollars, constituting an increase of 2.5% year-over-year. The maximum value was recorded in 2019 at 15,498 thousand US dollars. The largest decline occurred in 2020 at 41.9%, while the largest increase was recorded in 2019 at 90.2%.

Annual dynamics of product's imports to Chile in value, 2018-2021, K $ US

In the period from 2018 to 2021, the country structure of imports in value terms was highly concentrated, with Argentina alone accounting for 97.4% of total flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Chile in value, 2018-2021