Factors and Subjects in Domestic Beer Barley Production Based on Contract Data

Abstract

Beer Barley is a typical raw material for the food industry and an essential crop for land use. The expansion of its production has direct implications for food security. This paper focuses on domestic food barley production dexpanding in the 2010s, while beer barley production did not, simultaneously increase. We examine the conditions for expanding domestic beer barley production, identifying three factors: limited area due to malting location, highly variable production capacity, and the impact of rice price measures on rotation subsidies, which is particularly significant. The brewer-grower contract premium is at a level that would result in high margins for farmers with production capacity; however, profit margins are lower for the average barley farmer than the returns from subsidized food barley production.