Prices of maize across key spot markets rose, as arrivals fell due to a sharp decline in prices over the last few days. Prices had been on a decline for the last few days after the Telangana government decided to sell 400,000 tn of maize at 1,850 rupees per 100 kg to poultry units in the state.

Arrivals fell as traders are holding back stocks on hopes of prices rising in coming days due to extreme tight supply. In Nizamabad, arrivals fell to 600-700 bags (1 bag = 100 kg) from 800-900 bags, while in Davangere, they were at 700-800 bags, down 100-200 bags.

Prices are likely to edge higher as stockists are likely to hold back stocks until prices rise.

Corn futures closed Tuesday with most contracts 4 to 5 1/4 cents higher. The USDA reported a private export sale of 122,376 MT of corn for 18/19 delivery to unknown destinations this morning.

The weekly EIA report will be released on Wednesday morning per normal.

A couple South Korean tenders on Tuesday saw a total of 203,000 MT of optional origin corn purchased by importers.

CONAB released their latest corn production estimates for Brazil, with the total crop up 462,000 MT from Jan now at 91.652 MMT.

That was the cause of a larger projected second crop with the first crop 1 MMT lower.