Economic, physical, and institutional forces have brought changes in barley supply, demand, and prices. The importance of barley as a feed grain is declining in the United States while increasing elsewhere. If current trends continue, barley will be produced in the United States primarily for malting purposes within the next decade. As this change occurs, barley production will require new policy considerations. This report examines underlying economic forces and associated changes in the barley industry; quantifies barley and barley products flow from the producer to the consumer; describes industry organization and practices; and shows trends in world trade.