Prices of maize rose marginally due to weak demand from poultry feed manufacturers and starch makers. A fall in arrivals, however, supported the prices.
In Nizamabad, over 366 bags (1 bag = 100 kg) of maize arrivals was reported, compared with 800 bags. In Sangli, arrivals were at 585 bags (1 bag = 100 kg) against 862 bags.
Demand from bulk buyers are seen firm in the coming days as they are stocking up on anticipation of a smaller crop in the kharif season.
A likely smaller crop supported prices in the spot markets. Market participants see the kharif maize crop at 16.1 mln tn against the government’s estimate of 19.9 mln tn.
Corn futures reacted to the reports as expected, which is to say not at all. The WASDE showed projected ending stocks for the U.S. were unchanged at 1.91 bbu. Likewise, Argentine corn production was steady with November at 50 MMT.
Corn production from CONAB was up 50,000 MT mo/mo, at 98.41 MMT, but they are still below USDA’s 101 MMT. World production for corn was 1.108 billion MT.
That is up 10.7% from the average since 09/10 but down 1.41% from last year. World corn consumption was 0.08% lower yr/yr listed at 300 MMT.