This study was to examine the drying characteristics of barley and the effect of moisture content of barley on milling performance. A barley variety, Jogang, having 35.0% of initial moisture content was used for this experiment. Thermo-hydrostatic dryer which consists of blower, condensor, heater, humidifier, drying chamber and control box, etc., was used for the drying experiment. The change in the weight of a barley sample was continuously measured by means of the ring type load cell installed inside the drying chamber. Milling test runs the samples having the predetermined moisture content were taken from each drying test run. A laboratory type barley miller was used for the milling test. The results of the study are summarized as follows: 1. The drying constants (k) applied for the thin layer drying model, (M-Me)/(Mo-Me) = $Ae^{-kt}$ were 0.155, 0.259 and 0.548, respectively, at the three levels of drying temperatures, $40^{circ}C$, $50^{circ}C$ and $60^{circ}C$. The drying constants complied with the Arrhenius Equation, K = Ko exp (-C/T), were determined as $Ko=1.901455{ imes}10^8$ and C = 6563. 2. The laboratory milling test indicated that the highest milled and head barley recovery was resulted from the sample which was dryed at $40^{circ}C$. In general, the increase in the drying temperature from $40^{circ}C$ to $60^{circ}C$ indicated a negative effect on milling yields. 3. Also, the sample having 15% M.C. presented the highest milled and head barley recovery among the five moisture content levels (12, 15, 18,21 and 24%).