Maize settled up 1.26% at 1204 on strong export demand at lower levels. In Delhi arrivals were reported at 800 quintals, down by 200 quintals from previous trading day. In Bihar estimated market supply was at 5000 Quintal, higher by 833 Quintal as compared to previous day. In Punjab arrivals were reported at 1800 Quintal, lower by 1200 Quintal as compared to previous day. China's state corn sales rose this week as feed mills increased purchases amid tight supplies of good-quality grain in the market.

Maize production in India this year is likely to touch record 25 million tonnes as adequate monsoon rains trigger higher acreage across growing states. As per the second advance estimates of Indian government, the total maize production in 2013-14 is estimated at 23.29 million tonnes against 22.26 million tonnes due to higher sowing acreage coupled with favourable crop conditions in major producing states. Therefore, higher product will limit the stockiest buying at current levels. In southern states, maize-sowing has been affected as most of the area under the crop is rain-fed. It is likely maize acreage will see a fall this year. According to the latest data, acreage under the coarse cereals stood at 60.94 lakh hectares compared with 61.92 lakh hectares as on the date last year.

This is showing a drop of around 1.60% on the year but is also indicating that some pick up is emerging in the sowing activity off late. Technically market is under fresh buying as market has witnessed gain in open interest by 3.38% to settled at 42210 while prices up 15 rupee, now Maize is getting support at 1193 and below same could see a test of 1181 level, And resistance is now likely to be seen at 1212, a move above could see prices testing 1219.

Trading Ideas:

Maize trading range for the day is 1181-1219.

Maize prices ended with gains on strong export demand at lower levels.

In Bihar estimated market supply was at 5000 Quintal, higher by 833 Quintal as compared to previous day.

Maize production in India this year is likely to touch record 25 million tonnes as adequate monsoon rains trigger higher acreage.

NCDEX accredited warehouses maize stocks gained by 389 tonnes to 22644 tonnes.