Maize demand from Bangladesh continues to be the trigger

On Monday,  Bangladesh’s demand continues to be the trigger for market looking at better realisation than domestic markets. Quality concerns have started coming up and with rains every day situation is not going to get any better. Product realisation levels have come down for Poultry players especially Broiler Integrators, starch and Glucose product prices are trading in stable to weak range from last week. Destination market prices are as below

Tamil Nadu :- Rake 1400-1420, Trucks 1520-1535

Bangalore :- Rake 1415-1430, Trucks 1530-1565

Hyderabad :- trucks 1520-1560.

Ahmedabad :- 1350-1370/1380 (super quality cargo buying)

Bihar :- 1130-40 Rake point, 1180-1190 warehouse.

North :- 1320-1345 UP cargo for Haryana/Punjab

Sangli    : -1430-1440

Sowing Report :-

The maize crop sowing is moving along expected lines, we are 0.2 Myn hectares short than last year’s overall acreage number of 7.5 Myn, this year we have covered till now 5.4 Myn hectares versus 4.6 Myn hectares of same time last year. Madhya Pradesh numbers are same from last week but sowing numbers have improved in Maharashtra and Karnataka. With the expected rains this week, one expects sowing to be closer or better than last year’s numbers of 7.5 Myn hectares.


Exchange :-

July and Aug contract are trading at 1275 levels which indicates the roll over taking place from July to Aug, Aug is trading at 3% higher value than the last close of 1238. Open interest is at 2570 and 260 mt respectively for July and Aug. Spot prices are trading at 1234 levels.

International Market :-

Pl find the USDA Post report analysis from Our US office. Cbot Dec trading at 338 cents/bushel trading 6 cents lower from previous close of 344 cents/bushel.


Weather :-

The monsoon is likely to be very friendly in the corn growing regions of MP/Rajasthan/Gujarat/UP/Karnataka. Good rains are expected Wednesday onwards for this week. Parts of west Rajasthan coastal AP will be the regions where scanty/low rains are expected during the week.