Malting barley production moving west

By Dorinda Anderson

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Prairie Grains is the official publication of
the Minnesota
Association of
Wheat Growers,
North Dakota Grain Growers Association,
South Dakota Wheat, Inc., and the Minnesota Barley Growers Association.

Including Bob Ferebee, who farms near Halliday, ND. Ferebee decided to try malting barley threeyears ago. He says it was a good decision. "Last year malting barley was one of my best cash crops. It was a toss up with crambe," he says.

Like many western ND producers, Ferebee used to plant feed barley. But the problems with deoxynivalenol (DON, or vomitoxin) from scab that has kept much barley in the Red River Valley from qualifying as malting means a marketing opportunity for producers outside the Valley.

"I believe that if you’re farming in western ND it’s foolish not to plant malting barley instead of feed barley," Ferebee says. "If it doesn’t make malting barley you can still feed it." The only difference in the cost of production is the slightly higher cost of seed for malting barley varieties: for certified seed, usually no more than $1.00 per bushel higher than a feed barley variety.

Ferebee, a director on the board of the North Dakota Grain Growers Association, markets some of his malting barley through his local elevator, and contracts some with Anheuser-Busch. He has already contracted to plant malting barley again this year. He subscribes to a market service that helps him determine when to make a contract. "When we find a point in time when we can make money we go ahead and take (the contract)," Ferebee says.

He received about $2.00 a bushel from his malting barley last year, producing almost 70 bushels an acre for a total of about $140 an acre. "That is a nice return for cereals out here," he says.

One drawback, though, is the 50 cents a bushel cost to ship the contracted grain. "Even with that figured in, I still do well with that crop," Ferebee says. With his current contract, he says he should get just under $2 a bushel after shipping to West Fargo.

If the malting barley doesn’t make malt, Ferebee says he then would feed it to his feeder calves. But he normally buys feed barley for the calves for about $1.30 to $1.50 a bushel. "It makes more sense," he says. "I’ll raise (malting barley) to sell and buy the feed barley back… It is more work but there is a lot of profit in that little amount of work. And it’s the profit that will help us stay here."

Ferebee has planted a few different barley varieties to determine which performs best in the higher heat and lower moisture of western ND, and still meets malting specifications. He says he hasn’t had much luck with Robust. The variety he likes best thus far is Stander, but unfortunately, it isn’t preferred by some in the malting industry.

However, the Foster he grew last year was impressive. "It held up well to our conditions," Ferebee says, and so he plans to plant it again this year. "We have to raise what someone wants to buy."

To combat the higher heat of western ND when growing malting barley, Ferebee says he plants it as early as he can so the crop goes through the flowering and dough stages before peak summer heat. This helps reduce thins in the barley. To help preserve some moisture in the soil, Ferebee practices no-till.

"Each time we go over (till) the ground we lose moisture," he says. "And the cover it keeps on the ground helps save moisture. No-till gives us an option where I can start seeding deep-rooted crops." Ferebee planted 10 different crops ranging from small grains to corn, crambe, mustard, alfalfa and sudan grass last year. He shies away from late-season crops that conflict with the work of his cattle operation late fall.

Ferebee sees malting barley as a good production hedge. If he makes malting, he’ll receive a premium price over feed barley. If he doesn’t make malting, a livestock nutritionist he consults with has determined that it will cost about the same amount to buy protein meal and add it to the lower-protein malting barley as it would to feed the feed barley, considering the yield difference.

"If you have the option of possibly making 50 cents a bushel more, I will take that chance. If it doesn’t make malt I can feed it. So when you plant malting barley you have the potential to make $25 more than feed barley, or more," Ferebee says.

Recommended malting barley varieties

B1602, Foster, Robust, Excel, Morex, and Stander, are malting barley varieties recommended by the American Malting Barley Association in 1999 for planting in Minnesota, North Dakota, and South Dakota.
AMBA says these varieties, when delivered in pure carlots of sound, bright, plump, low moisture barley in an acceptable protein range may command premium prices over feed barley.
Due to its limited production and brewer interest, Azure has been dropped from the list of recommended varieties for 1999.
Robust, Foster, and Excel are the preferred varieties and the malting and brewing industry is encouraging growers to plant these varieties in 1999. The top two U.S. brewers are dissatisfied with the high soluble protein quality profile of Stander.

Growers, elevators, and other grain handlers are strongly encouraged to maintain variety integrity and not mix Stander and Robust barley or other varieties. Each barley variety malts differently and mixtures will not malt properly.

For more information, see AMBA’s web site, ambainc.org.