India Corn Market, By Region, Competition, Forecast & Opportunities, 2020-2030F

The India Corn Market was valued at USD 1.46 Billion in 2024, and is expected to reach USD 2.30 Billion by 2030, rising at a CAGR of 7.86%. In India, corn, also known as maize, is a highly significant and widely cultivated crop that thrives in diverse regions across the country. Renowned for its versatility, corn serves as a staple food in many parts of India, forming an integral part of the local cuisine. It is consumed in various delightful forms, including boiled corn, succulent corn on the cob, and crispy cornflakes, offering a diverse range of taste and texture experiences.

Corn finds its way into the preparation of a plethora of delectable dishes and snacks, adding its unique flavor and nutritional value. Not limited to human consumption, corn in India plays a vital role in animal feed, contributing to the well-being and sustenance of livestock. Corn is extensively utilized in India's industrial sector, serving as a key ingredient in the production of essential products like starch and ethanol. Through its multifaceted applications and contributions, corn truly holds a prominent position in the agricultural, culinary, and industrial landscape of India.

Key Market Drivers

Increased Use of Corn in Animal Feed

The heightened utilization of corn in animal feed is projected to significantly escalate the demand for corn in India. This is primarily driven by the growth of the poultry and dairy industries, which heavily rely on corn for high-quality and cost-effective animal feed. The enrichment of livestock diets with corn significantly boosts their health and productivity, making it an essential component of the animal feed industry. A study titled "Nutritional Evaluation of Baby Corn Husk - A New Feed Resource for Livestock" was conducted to assess the nutritional value of baby corn husk (BCH) for ruminants.

In this study, fresh chaffed BCH, BCH wilted for 2-3 days and ensiled for 42 days, or a mixture of fresh BCH and chaffed rice straw in a 70:30 ratio (BCH-RS), was ensiled for 42 days in lab silos, with triplicates for each treatment. In vitro gas production studies revealed that the net gas production (NGP), NDF, true organic matter (OM) digestibility, and metabolizable energy (ME) availability were highest in BCH, followed by ensiled BCH, and lowest in ensiled BCH-RS. Furthermore, the methane production as a percentage of net gas production was lowest in BCH and highest in ensiled BCH-RS. Concurrently, the increasing consumption of dairy and meat products in India is also contributing to this rise in demand.

As a result, the corn industry is expected to witness an upward trend to meet the burgeoning demand. Government initiatives promoting corn cultivation and the introduction of innovative, high-yield corn varieties are likely to bolster this growth. The shift towards industrial farming practices, emphasizing economically efficient feed, is set to further drive the increased use of corn in animal feed. Thus, the integration of corn in animal feed marks a pivotal role in shaping the future of corn demand in India.

Rising Demand for Corn-Based Ethanol Fuel

The surging demand for corn-based ethanol fuel presents a positive outlook for the Indian corn market. As India plans to shift towards cleaner, sustainable energy sources, the demand for biofuels, particularly corn-based ethanol, is expected to rise sharply. The price of ethanol in India is higher compared to countries like the USA (corn-based) and Brazil (sugarcane-based), which are much larger ethanol producers. This price difference is attributed to India’s regulated feedstock prices (such as sugarcane and corn), which are kept at higher levels to support farmers.

For instance, the minimum support price (MSP) for corn increased by 43% from INR 13,650/tonne to INR 19,620/tonne in 2022-23. During the same period, the production cost of corn rose by approximately 25%. In January 2024, the Indian government raised the procurement price of corn-based ethanol by 29%, bringing it to INR 71.86 (about US$0.86) per litre. In comparison, the price of corn-based ethanol in the USA in 2024 was about US$0.74 per litre.

As the world's fifth-largest corn producer, India has the potential to meet this escalating demand for ethanol production. The government's ambitious plan to achieve a 20% blend of ethanol in petrol by 2025 further intensifies the demand for corn, which will be needed in large quantities to meet this target. This not only provides an impetus to the corn market but also promises an uplift for the entire agricultural sector in India. The higher demand for corn could lead to increased prices, a boon for corn farmers who traditionally grapple with low-profit margins. However, the increased demand for corn for ethanol production could also pose a challenge, potentially leading to a food-fuel competition. Nevertheless, the anticipated rise in demand for corn-based ethanol fuels is poised to significantly boost corn consumption in India.

Advances in Genetic Modification Leading to Higher Yield Varieties

The advent of genetic modification technologies has given rise to high-yielding corn varieties, which is expected to significantly increase the demand for corn in India. As a populous nation with burgeoning food requirements, India stands to benefit immensely from these advances in genetic modification. In February 2022, Confined field trials for genetically modified (GM) herbicide-tolerant cotton and maize in India have been approved by the states of Haryana and Karnataka, as well as by the Genetic Engineering Appraisal Committee (GEAC) under the Ministry of Environment, Forest, and Climate Change (MoEF&CC).

After receiving No Objection Certificates (NOCs) from the Haryana and Karnataka governments, the GEAC authorized the proposals submitted by Rallis India Limited to conduct BRL-1 (1st and 2nd year) field trials for two GM stacked cotton varieties (MLS2154 x MLS4301 x MLS2531 and MLS2154 x MLS4301). These trials aim to assess resistance to Helicoverpa armigera and Spodoptera litura, as well as glyphosate tolerance.

Additionally, trials for GM stacked maize MLS10101 x MLS13621 will evaluate resistance to S. frugiperda and glyphosate tolerance. The trials, scheduled for 2022-23 and 2023-24, will take place at two of the proposed sites: University of Agricultural Sciences, Dharwad, Karnataka; University of Agricultural Sciences, Raichur, Karnataka; and Chaudhary Charan Singh Haryana Agricultural University, Hisar, Haryana. The committee recommended conducting the trials at these locations, subject to several conditions.

These modified varieties of corn not only mature faster but also have superior resistance to pests, drought, and diseases. They require fewer fertilizers, reducing the environmental footprint and making corn cultivation more sustainable. The enhanced yield can aid in addressing the food security issue, consequently driving up the demand for genetically modified corn. The use of modified corn in various sectors such as biofuel production, animal feed, and the food industry, coupled with its nutritional benefits, is poised to fuel its demand further. However, to realize these potential benefits, it is crucial for the government and policymakers to address public concerns around genetically modified crops and initiate appropriate measures to regulate their cultivation and distribution.

Increased Use of Corn in The Food Processing Industry

The burgeoning use of corn in India's food processing industry is anticipated to significantly elevate the demand for this versatile crop. Traditionally, corn was primarily consumed directly as food, but its role has evolved dramatically with the technological advancements in the food processing sector. It's now extensively used in the production of sweeteners, starch, oil, and even alcohol, extending its presence to a wide array of food and beverage products.

As the Indian market grows more health-conscious, the demand for processed foods with natural ingredients like corn is surging, further accentuating the demand. Increased corn utilization in the animal feed industry, predominantly poultry and dairy, contributes to this rising demand. Government initiatives towards boosting corn production, such as offering subsidies to farmers and promoting research in corn hybrids, are also playing a role in meeting this increased demand. As the food processing industry continues to expand, the trend of escalating corn consumption is projected to persist, leading to a substantial rise in India's corn demand.

Key Market Challenges

Lack of Modern Technology

The lack of modern technology in India's agricultural sector is expected to decrease the demand for corn in the market. Traditional farming methods limit production efficiency and corn yield, which in turn affects the supply chain and impacts the market dynamics. Inefficient irrigation systems, limited access to modern mechanical tools, and lack of knowledge about the latest farming techniques contribute to low productivity. Post-harvest losses due to unavailability of proper storage facilities or advanced processing mechanisms exacerbate this situation.

This inefficiency in corn production can decrease its popularity among farmers who may shift to other crops that promise better returns. Consumers, on the other hand, will be affected by the fluctuating supply, indirectly influencing their consumption patterns. In addition, the absence of advanced technological platforms for easy and efficient buying and selling of corn can also affect the demand. Thus, the lack of modern technology can be linked to the projected decrease in corn demand in India.

Lack of Proper Pest Management

The anticipation of reduced corn demand in India can be directly linked to the lack of effective pest management strategies in the country. Indian farmers, who largely depend on traditional pest control methods, often find their corn crops devastated by an array of pests. These pests, endemic to the Americas, have recently invaded Indian farms, causing significant damage to maize crops. The severity and frequency of these infestations are expected to reduce corn yield and subsequently the demand for corn in the local markets.

The potential of these pests spreading diseases that can affect humans and livestock will likely prompt consumers to seek alternative grains. This concern arises due to the fact that Fall Armyworms are not only voracious feeders but also vectors for various pathogens. The risk of disease transmission poses a threat to both agricultural productivity and public health, making effective pest management strategies all the more crucial.

The resultant decrease in the domestic demand for corn will not only impact the livelihoods of farmers but also disrupt the entire corn commodity market in India. As corn is a staple crop and a vital source of income for many farming communities, the economic implications of reduced demand are far-reaching. This scenario underscores the critical need for the development and implementation of sustainable and efficient pest management strategies that can combat the threats posed by the Fall Armyworms and ensure the stability of the corn industry in India.

Key Market Trends

Emergence of Contract Farming

The emergence of contract farming in India is anticipated to fuel an increased demand for corn in the region. Contract farming serves as a bridge between farmers and agribusinesses, providing a stable market for crops and a guaranteed income for farmers. For agribusinesses that rely heavily on corn such as the poultry and starch industries, contract farming ensures a steady supply of the crop.

In addition, contract farming can introduce advanced farming techniques and better quality seeds, which can significantly boost corn yield. This enhanced yield can satisfy the growing domestic demand driven by changing dietary habits towards high-protein foods, which often include corn as a significant ingredient. The demand for corn is also expected to surge due to its use in producing ethanol, an eco-friendly biofuel that India is promoting to reduce carbon emissions. This diversified use of corn, along with the support from contract farming, signifies a promising increase in corn demand in the Indian market.

Increase in Export of Corn Products

India's demand for corn is projected to rise significantly, primarily driven by an increase in the export of corn products. The agricultural sector, particularly corn production, has observed substantial growth in recent years, making India a significant player in the international market. India typically exports between 2 million and 4 million metric tons of corn, but in 2024, exports are expected to fall to just 450,000 tons. At the same time, the country is projected to import a record 1 million tons, primarily from Myanmar and Ukraine, which produce non-GM corn. The demand for corn has risen this year as ethanol distilleries began using corn, following a government decision to limit sugarcane use for fuel due to a drought.

With the increasing exports of corn products, including cornmeal and corn oil, the domestic demand for corn is expected to rise concurrently. This increase is due to the need to maintain an adequate supply for domestic consumption while also fulfilling the rising international orders. The export market's expansion is anticipated to stimulate local corn production, consequently driving up demand. Corn's versatile nature and its use in a multitude of industries, ranging from food and beverage to biofuel production, further escalates the demand. As the export market continues to flourish, it presents a lucrative opportunity for India's corn producers, urging them to scale their production to meet both the domestic and international demand. This synthesis of factors is set to promote an upward trajectory for corn demand in India.

Segmental Insights

Type Insights

Based on the type, in India, the corn market is predominantly dominated by sweet corn, a variety that stands out for its exceptional versatility in a wide range of Indian dishes. Its delightful taste, with a higher sugar content, perfectly matches the local taste preferences. Sweet corn is available throughout the year, making it a popular choice among consumers. Sweet corn's rapid growth rate and the potential for high yield make it an attractive option for many farmers. Its ability to adapt to diverse climatic conditions and its resilience against pests and diseases have contributed to its widespread cultivation. The cultivation of sweet corn not only ensures a steady supply for the market but also supports the livelihoods of numerous farmers across the country.

End User Insights

Based on End User, in the Indian corn market, the poultry & cattle feed segment is currently dominating the industry landscape. This can be attributed to the increasing demand for high-quality feed in the rapidly expanding poultry and cattle industries, which heavily rely on corn as a staple component in their feed mix. As the consumption of poultry and dairy products continues to surge in India, driven by factors such as population growth and dietary preferences, the demand for corn in this sector is expected to maintain its upward trend. This trend is further fuelled by the need for sustainable and nutritious feed options to support the growing livestock population in the country. With its versatility and nutritional benefits, corn stands as a key player in meeting the evolving needs of the Indian poultry and cattle industries, ensuring a steady and promising future for the market.

Regional Insights

The Western region of India, particularly the states of Maharashtra and Gujarat, is currently leading in the Indian corn market. These states boast of ideal climatic conditions, including moderate temperatures and plentiful rainfall, which create a favorable environment for corn cultivation. The abundance of sunshine and fertile soil further contribute to the growth and productivity of corn crops in this region. The well-structured agricultural practices in Maharashtra and Gujarat play a crucial role in the remarkable enhancement of corn production. The farmers in these states have embraced efficient irrigation systems, utilizing advanced techniques to ensure optimal water supply to the corn fields. They have adopted modern crop management strategies, including precision farming and integrated pest management, to safeguard the corn plants from diseases and pests.

The Western region's commitment to sustainable agriculture is also noteworthy. Farmers in Maharashtra and Gujarat have implemented soil conservation practices, such as contour plowing and terracing, to prevent soil erosion and maintain the fertility of the land. They prioritize the use of organic fertilizers and biopesticides, minimizing the environmental impact of corn cultivation. With its advantageous combination of natural factors, strategic agricultural practices, and sustainable approaches, the Western region has firmly established itself as a prominent player in the thriving Indian corn industry. The continued success and growth of corn production in this region reflect the dedication and expertise of the farmers, making it a key contributor to India's agricultural economy.

Key Market Players

• Adani Wilmar Ltd.
• Nuziveedu Seeds Ltd.
• Rasi Seeds (P) Ltd.
• DCM Shriram Ltd.
• Corteva Agriscience India Pvt. Ltd.
• Godrej Agrovet Limited
• Cargill India Pvt. Ltd.
• Sukhjit Starch & Chemicals Ltd.
• Nalcorp Private Limited
• Trimurti Corns Agro Foods Private Limited

Report Scope:

In this report, the India Corn Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

India Corn Market, By Type:

• Flint Corn
• Popcorn
• Sweet Corn
• Flour Corn
• Others

India Corn Market, By End User:

• Direct Consumption
• Poultry & Cattle feed
• Processed Food
• Others

India Corn Market, By Region:

• North
• South
• West
• East

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the India Corn Market.

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