New Delhi, September 16 (CommoditiesControl): Maize prices have remained steady to weak as increased new crop arrivals in Telangana and Karnataka continue to put downward pressure on the market. In Sangli, maize prices ranged from ₹3,000 to ₹3,175 per quintal, down ₹25 from the previous session. A buyer of a starch-based product has also reduced purchasing rates by ₹50-75 per quintal.
Despite clear weather in the major harvesting regions, which has prevented any significant crop damage, the growing arrivals in Karnataka’s Koppal and Telangana’s Nizamabad are influencing forward trades. Buyers are securing deliveries for the next 10-15 days at rates between ₹2,900 and ₹3,000 per quintal. However, markets remained closed today due to the Ganesh festival.
Following Ganesh Visarjan on September 17, arrivals are expected to surge, likely leading to further price declines of ₹50 to ₹100 per quintal in the coming weeks. The situation is further compounded by the anticipated arrival of two ships carrying approximately 50,000 tons of corn to Indian ports, which is expected to ease the supply gap and potentially soften prices.
In Southern India, including Bihar, maize prices have remained steady despite the rise in fresh arrivals. Current prices are quoted between ₹2,450 and ₹2,540 per quintal. Buyers have slowed their purchases in anticipation of more supply entering the market.
According to official data, the ethanol blending program (EBP) obtained 65.3 crore liters of ethanol from public sector oil marketing companies (PSUs) in August 2024. From November 2023 to August 2024, the total ethanol procured was 526.6 crore liters, with 545.0 crore liters of ethanol blended under the EBP program during the same period.
Maize acreage has increased by 5.3% year-on-year to 87.3 lakh hectares, according to recent planting data. This growth supports the government’s efforts to diversify crops and build climate resilience. With the aim of reaching 8.9 million hectares of maize this year, India could produce an additional 4 million metric tons (MMT) of maize during the kharif season if yields remain consistent.
By September 20, new maize arrivals are expected to peak in Karnataka, with better crop conditions compared to last year. While the overall demand from domestic ethanol producers remains strong, the short-term outlook for maize prices is bearish due to the oversupply expected in the coming months. However, warehouse maize prices are unlikely to fall below ₹2,350-2,400 per quintal, with strong buying interest expected once processor prices hit the ₹2,600 mark.
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