Maize is emerging as third most important crop after rice and wheat in India. It is mostly used and traded as a leading feed crop but is also an important food staple. In addition to food and feed, maize has wide range of industrial applications as well; from food processing to manufacturing of ethanol. Diversified uses of maize for maize corn, Starch industry, corn oil production, baby corn, popcorn etc. and potential for Export has added value to the demand of maize all over the world. The global demand for maize in the ethanol sector is strong enough which supports the increased production in last few years.
Maize is classified into various types of grades and classes for commercial and marketing purpose. In US, colour is the main trait that distinguishes major varieties and uses, white grain is for human consumption and yellow and mixed grain for livestock and industry.
Global production of maize is estimated to around 945 Million Tonnes in 2012-13. USA, China, Brazil, Mexico, Argentina and India together accounts for 75 per cent of the world maize production and major consuming nations of corn are also USA and China.
In India the maize production is around 20- 22 million tonnes. The major producing states in India are Karnataka, Andhra Pradesh, Maharashtra, Bihar, Rajasthan, Madhya Pradesh, Uttar Pradesh, Tamil Nadu and Himachal Pradesh. Productivity of maize is highest in Tamil Nadu followed by Andhra Pradesh, Punjab and Karnataka.
Maize is cultivated in three seasons. In India almost 80% crop is cultivated in kharif season.
Kharif: Sowing takes place after onset of the South West monsoon i.e., from June month and continue till August month. It is a short duration i.e., 120 days for one season so 80- 82% of the crop is cultivated.
Rabi: Rabi sowing takes place in the months of October & November.
Summer: cultivated under irrigated conditions.
Exports of chillies from India sum up to around 1 lakh tons, which makes 33% of the total spices exported from the country. Chilli powder, dried chillies, pickled chillies and chilli oleoresins are some of the forms in which this crop is exported. The major importers of chillies from India are namely United States of America, Sri Lanka, Bangladesh, Nepal, Mexico, Canada, United Kingdom, Saudi Arabia, Singapore, Malaysia and Germany etc.
Arrivals & Major trading Centre
The arrival period of maize is from late September to February.
In India, maize is traded at Patna, Chapra, Begusarai, Motihari (Bihar), Dohad (Gujarat), Bangalore (Karnataka), Jhabua (Madhya Pradesh), Udaipur (Rajasthan), Bahraich , Kanpur (Uttar Pradesh) etc.
Major trading centres of maize in world are Chicago, Budapest (Hungary), South Africa, Liaoning (China) and Kenya
Among the major exporters of Maize, USA stands first followed by Argentina and Brazil. China, South Africa, Ukraine are minor exporters, their share is very low. Only USA dominates the international trade of corn as an exporter.
Major importing nations of maize are Japan, Korea, Taiwan, Mexico, Egypt, Malaysia, EU and Colombia. India is also a maize importing country and Government fixes the quantity of maize to be imported each year and the imports are to be done on 15% basis customs duty.
Price driving Factors for Maize
- Temperature, rainfall and soil moisture in the cultivating areas
- Changes in the MSP
- Demand for the maize in poultry and industrial uses
- Seasonal cycles: Price tends to be lower as harvesting progresses and produce starts coming into the market. At the time of sowing and before harvesting price tends to rise in view of tight supply situation.
- Carryover stocks, consumption and the import-export policy also affects the prices