Maize on NCDEX settled up by 0.79% at 1399 tracking firmness in spot demand and overseas prices. Maize harvest continues at a fast pace in Telanagana, Karnataka and arrivals are somewhat good, but the quality of the produce is inconsistent. The farmers in non-irrigated areas had experienced dry patches during the monsoon season, which severely affected the grain setting as the temperatures were high. Post that, there have been damage to the crop due to excessive rains and farmers have complained of severe losses in corn belts of Telangana and Andhra Pradesh. The overall average productivity of 0.597 tonne per acre or 1.47 tonne per hectare of the surveyed area. Even as the price is higher than the Minimum Support Price (MSP) of Rs 13,650 per tonne, the cost of production in most cases has been much higher. In the global market, 70 per cent of corn is harvested and the conditions remain favourable for a bountiful crop. At Khanna market in Punjab, total arrivals are at 3000 Quintal, steady as against previous day’s arrival. At Nizamabad market in Andhra Pradesh, estimated market supply was at 40000 Qtl, higher by 10000 Qtl as against previous day. The IGC forecast 2016-17 maize production at 1.035 billion tonnes, up from 1.027 billion tonnes in September and compared with 971 million tonnes in 2015-16. In Nizamabad maize spot prices dropped -3.1 rupees to 1437 rupees per 100kgs.Technically market is under fresh buying as market has witnessed gain in open interest by 7.95% to settled at 21870 while prices up 11 rupee, now Maize is getting support at 1384 and below same could see a test of 1368 level, And resistance is now likely to be seen at 1409, a move above could see prices testing 1418.

Trading Ideas:

Maize trading range for the day is 1368-1418.

Maize prices ended with gains tracking firmness in spot demand and overseas prices.

Maize harvest continues at a fast pace in Telanagana, Karnataka and arrivals are somewhat good.

NCDEX accredited warehouses maize stocks dropped by 103 tonnes to 553 tonnes.

In Nizamabad maize spot prices dropped -3.1 rupees to 1437 rupees per 100kgs.