Maize sowing has moved up 100% as compared to same time last year. With better monsoon coverage, market can early sowing across regions which means if all goes well kharif crop arrival will be seen earlier than normal time, probably 15 days to 30 days earlier than 2019. Madhya Pradesh has been the surprise package of this year’s sowing, crop sowing already has touched 9 lac hectares. Orissa/Chhattisgarh/East MP regions will be a surprise in terms of maize acreage this year.
Just in there has been a terrorist attack in Pakistan stock exchange in Karachi. In India fresh curbs on movement are being levied in various cities, people movement is being restricted. Some states are imposing lockdown as the Covid Cases have surged in the last 15 days.
Sensex and Nifty are down by 450 and 140 points respectively from previous close and rupee is trading 75.58 from last close of 75.68.
The Telangana tender is keeping a market guessing on its timing and quantity to be offered. Information is about 0.25 Myn Mt cargo will be offered during this week by the Telangana government.
Incessant rains are causing issues in the cargo quality, arrival and movement in Bihar, Maharashtra arrivals are lower and MP Kharif cargo keeps surprising the markets with its daily arrivals of over 1000 MT/day in chindwara region. Destination market prices are as below
Tamil Nadu:- Rake 1480-1500, Trucks 1580-1600
Bangalore:- Rake 1480-1490, Trucks 1570-1590
Hyderabad:- trucks 1540-1590.
Bihar:- 1170-80 Rake point, 1230-40 warehouse.
North:- 1370-1390 UP cargo for Haryana/Punjab
Sangli : -1500-1520
July contract is trading at 1304 with an open interest of 2480 Mt, the spot price is being quoted at 1250 and the exchange has 845 Mt with another 445 Mt in the process of accreditation.
Indian Maize cargo quality is making the Bangladesh Poultry market skeptical on performance issue. Major poultry players comment they would rather wait for South American crop versus buying Indian cargo @ 190-195 CFR darsana levels. Indian sellers are facing quality challenges in the performance of their contracts and the weather is not helping either.
Cbot July contract traded at 319 cents/bushel and with the increased chances of another lockdown looming large, the subsequent demand from the oil sector is looking lower and so is its impact on the current corn crop. Tomorrow US acreage report will give us an idea of what area is being switched from corn to beans this year.