India maize prices seen down as high carryover stock to offset low output.

Maize price may not rise this year as a large carryover stock from last year will offset the impact of low output from the kharif crop. Almost 75% of the country’s maize is produced in the kharif season. The carryover stock is nearly 2.0 mln tn, and the output this year is estimated to be 1.5 mln tn less than last year at 17.7 mln tn. Key producers Andhra Pradesh, Telangana, Karnataka, Maharashtra and Madhya Pradesh account for 80% of the maize produced in the country. Acreage has so far declined 4% on year due to erratic monsoon rain during the sowing season. Though the rain recovered in August, the output is still likely to be less than last year. Warehousing major National Bulk Handling Corp has pegged this year’s kharif crop at 17.7 mln tn vs 19.2 mln tn, down 1.5 mln tn.