Maize settled down -0.16% at 1216 due to sluggish overseas and local demand and expectations of higher production. Corn is cultivated during both summer and winter in India, Asia's largest exporter of the grain, but most of the output comes from the summer crop. Sources estimate corn output to be slightly higher at 22.5 million tonnes in 2013/14, compared with 22.23 million tonnes a year earlier. Overseas demand is poor as quality is not good enough. Most of the supplies are going to the starch and poultry industry. Quality of supplies from some centres is inferior because of excessive rains, spot traders said. Around 48 percent of the demand for maize is projected to come from poultry feed, while the rest is mainly for human consumption and the processing sector. India's corn exports are expected to drop to around 3 million tonnes in 2013/14 as buyers opt for cheaper supplies from South America. As per the latest release from Ministry of Agriculture, the total sowing acreage of rabi maize reported at 11.46 lakh hectares as on 31st December 2013 , up 13% from the last year in the same period. This was mainly due to higher sowing in Karnataka in the current year. Traders are expecting around 46 lakh tonnes of total rabi production in the current year. Technically market is under fresh selling as market has witnessed gain in open interest by 5.38% to settled at 18790 while prices down -2 rupee, now Maize is getting support at 1212 and below same could see a test of 1207 level, And resistance is now likely to be seen at 1220, a move above could see prices testing 1223.

Trading Ideas:

Maize trading range for the day is 1207-1223.

Maize dropped due to sluggish overseas and local demand and expectations of higher production.

Corn is cultivated during both summer and winter in India but most of the output comes from the summer crop.

Sources estimate corn output to be slightly higher at 22.5 million tonnes in 2013/14, compared with 22.23 million tonnes a year earlier.

Technically market is under fresh selling as market has witnessed gain in open interest by 5.38% to settled at 18790