Maize Futures Face Bearish On Arrivals From Bihar, AP

Mumbai: Maize futures are facing a bearish trend on the back of the rabi crop from Bihar and Andhra Pradesh hitting the market. However, in the spot market the prices are stable and moving in a range of Rs 715 to Rs 725 a quintal. The contract for May delivery fell by about 6 per cent to Rs 741 a quintal today from Rs 790 a quintal a fortnight ago. According to commodity analysts, the futures prices may go down further. The country expects around 2.3 million tonnes of the rabi maize. Despite this, however, there will be an overall shortage of 2 million tonnes. The rabi crop arrival will continue till mid-May. Bihar's crop that reached Delhi is reported to have higher moisture content. According to global standards, moisture content should be 14 per cent, but the crop from Bihar has a moisture level of 25 per cent. The spot rate, on April 24, was around Rs 720 a quintal in mandis. In the meantime, despite the rupee appreciation, maize imports have not proved viable so far. Contrary to reports suggesting a global scarcity of maize and a significant chunk going for ethanol production, the US may have enough to export.