Maize prices remained steady across key spot markets due to a decline in both arrivals and demand. Demand was subdued today as consumers are avoiding purchases in bulk due to a sharp rise in prices.

On NCDEX, maize futures rose due to an anticipated supply shortage in the coming days. The most-active July contract rose 0.2% to 1,979 rupees per 100 kg.

Maize prices are, however, seen moving up due to an anticipated decline in production in 2018-19 (Jul-Jun). Poultry feed and starch manufacturers, the key industrial buyers of maize, have pegged the crop at 18-20 mln tn this year, much smaller from last year. However, the farm ministry has estimated the output to be only 3% lower on year at 27.82 mln tn.

Corn futures ended the Thursday session with most nearby contracts 7 to 9 cents higher.

USDA reported a flash sale of 122,000 MT of corn to Mexico this morning, with 52,000 MT for 18/19 and 70,000 MT for 19/20. The weekly Export Sales report indicated that just 38,402 MT of old crop corn was sold in the week of 6/13, well below the range of estimates.

New crop bookings totaled 360,834 MT, the third largest this MY and in the middle of expectations. Total US export commitments for 18/19 are now 14.1% below the same time last year at this point.

A total of 1.832 MMT of corn was sold form Chinese state reserves at an auction on Thursday, 46.11% of the amount offered.