Budweiser China and Jiangsu Nongken Group are reshaping domestic barley supply chain, supporting farmers to increase yields, improving raw material supply, and boosting industry collaboration.

On May 14, the two companies hosted the sixth annual Growers Day at Huaihai Farm in Sheyang County, Yancheng, Jiangsu province. Since forming a partnership with Jiangsu Nongken a decade ago, both sides have created a system covering cultivation, production and distribution, building on their "Five Excellence" system, which centers on soil, seeds, farming, storage and purchase. This approach has steadily improved the quality and availability of locally grown barley.

Barley is a key ingredient in beer, shaping both taste and quality. It also plays a strategic role in linking agriculture and industry. Even though China is the world’s largest beer market, the country still faces gaps in high-quality barley supply.

To address this, the Ministry of Industry and Information Technology issued guidance in February on upgrading the brewing industry (2026–2030). The plan emphasizes stronger raw material supply, expansion of brewing-specific crops, and closer collaboration between farmers and industry.

Ricardo Obara, vice president of procurement & sustainability at Budweiser APAC, said: "We have built a tripartite model with farmers, Jiangsu Nongken, and Budweiser China. This gives farmers more stable income and predictable demand. Our goal is to show farmers the value of high-quality barley and help strengthen domestic production."

In 2024, the partners launched the "100+ Innovation Alliance" to promote low-carbon farming. One collaboration with Kangfen Ecolutions focuses on regenerative agriculture, replacing chemical fertilizers with organic alternatives and creating a sustainable value chain for high-end fertilizers.

The better seed practice drives innovation in barley varieties. In 2024, two new strains, Y131 and Y148, were successfully developed. "These varieties have strong malting and brewing traits and perform well in the field," Obara said.

The partnership has helped farmers grow a higher share of malting-quality barley that meets brewing standards and fetches better prices. Average yields have risen from about 500–550 kilograms per mu to 550–600 kg per mu. So far, about ten percent of the barley used in domestic beer brewing is sourced locally.

Jiang Jianyong, general manager of Jiangsu Nongken Group, said: "Our work with Budweiser China is key to advancing industrialization, premiumization, and green agriculture in the province. We will continue to strengthen cooperation on supply chain resilience, low-carbon farming, and farmer income, while developing barley varieties suited to Jiangsu’s soil and climate."

Using local barley in domestic beer brands also strengthens ties with communities, giving farmers pride in seeing their crops in products enjoyed nationwide. "There is still room for growth," Obara said. "Farmers have different options, and our goal is to keep barley a profitable and valuable choice for them."