Maize Market Outlook

08-Jan-2025 10:38 AM

Maize Market Outlook
The stock of maize may remain weaker at the end of this season compared to last year due to increased ethanol usage.
Ethanol consumption is being met through imports.
From April to October, 7.76 lakh tonnes of maize were imported, with imports expected to reach 11 lakh tonnes by March.
Exports have halted; last year, 2 lakh tonnes of maize were exported. The increased use of maize for ethanol production rose as sugarcane juice and sugar ethanol production were restricted last season.
In 2022-23, maize use for ethanol was 6%, and it is expected to rise to 41% in 2023-24 and 51.5% in 2024-25.
By December, approximately 55 lakh tonnes of maize were used for ethanol, and this could rise to 130 lakh tonnes in 2024-25.
There is a shortage of 50 lakh tonnes of maize in the country.
Maize prices, which were previously ₹1000-1200 per quintal, have now risen to ₹2500-2700. Despite increased production in the last three seasons (summer, rabi, and kharif 2024), prices remain high.
Ethanol demand is expected to stay strong for the next four months, which may keep prices firm.