Maize Market Overview
The maize market is 1.14 billion metric tons in 2020 and is projected to expand at a rate of 3.8 percent over the forecast timeframe (2021-2026).
The dramatic drop in the price of corn in the initial phase of the COVID-19 pandemic has had little impact on analysts and traders. In India, the prices of corn are down by 20 percent in April and May 2020, compared to March of the previous year. The companies that make starch have decreased production by twenty percent below their normal capacity, which has negatively affected the maize market.
The increasing demand for meat is causing a need to purchase more grain products, particularly for soybean and Maize, because both are extremely nutritious, particularly for protein. It is utilized to feed livestock.
Corn is the most important United States feed grain accounting for over 95 percent of feed grains’ total use and production. The majority of this crop is used for the production of Maize, mostly utilized for livestock and feed reasons. As the total number of farms that grow corn has decreased since the past few years amount of land per farm of corn has increased.
Scope of the Report
The market examined for this report comprises the sale of Maize both locally and internationally. It is not comprised of processed products made from Maize. Production (volume) consumption (value and volume), as well as export (value as well as volume) export (value and volume), and analysis of pricing are available for the world’s maize markets. This does not cover maze seed or seeds to be used for sowing reasons. This includes only the Maize that is available for consumption.
Key Market Trends
The demand for animal-based protein sources
Growth in the population, increasing incomes in the developing world, and the rise of urbanization have increased the consumption of livestock worldwide. The income levels and the growth in people are directly linked to the use of meat, milk, and eggs, which has been increasing at the expense of staple food items. This is why the demand for livestock has increased over the past few years to meet the growing demand for meat and other high-value animal protein. For example, in India, dairy farmers are replacing the local, low-yielding dairy cow breeds with more productive crossbred cows and buffaloes to boost their milk yield. Because, Maize is one of the primary ingredients in nearly every kind of animal compound feed kinds, like ruminants, poultry swine, and aquaculture. Therefore, the growing demand for protein from animals is expected to boost the trade and market for Maize on an international scale.
North America to Dominate the Global Maize Market
North America is expected to be the most important market for Maize, followed by Asia-Pacific during the next few years due to the large yield of maize crops and its use in animal feed. Based on the Food and Agricultural Organization (FAO), the United States is the largest producer of Maize and accounts for 30.21 percent of the world’s production in 2019. Most of the Maize consumed by the United States is used as the primary energy source to feed livestock. Maize is also utilized in making a variety of industrial and food items such as alcohol, cereals, sweeteners, and byproducts provide. Due to the increasing use of Maize in various services, the market for the maize crop is predicted to rise over the forecast time.