Maize bearish ahead of fresh arrivals
Maize, both in spot and futures market, is bearish today on lack of demand from the poultry and starch industries ahead of new arrivals in the next two weeks.
In futures market, September delivery of maize tumbled by one per cent to Rs 939 a quintal on NCDEX counter owing to weak sentiments in the spot market. The October contract dipped by 1.25 per cent at Rs 877 a quintal. Spot prices, which were ruling at above Rs 1,000 a quintal level two days back, fell sharply to Rs 994 a quintal at Nizamabad in Andhra Pradesh, the main centre for maize trading in the country.
“Arrival pressure and limited buying from poultry feed industries are supporting the bearish trend in the market,” Karvy Comtrade Analyst Amand Rajalaxmi said.
In Nizamabad region, harvesting has already started, while the fresh arrivals are expected to hit the market by next fortnight, she said. According to the official data, sown area under maize dropped to 6.31 million hectares as on August 17, from 6.98 million hectares in a year-ago period.
Market observers said that the prices are unlikely to be affected by the government’s nod on export of maize seed.