Agriculture is one of the strongholds of the Indian economy and accounts for 18.5 per cent of the country’s gross domestic product Andhra Pradesh, Karnataka, Bihar and Maharashtra are the major maize producing states. The products from maize are value added products which include maize starch, liquid glucose, dextrose monohydrate, anhydrous dextrose, sorbitol, corn gluten to name a few. In India, the prime source of starch is maize and the textile industry is for long the largest buyer of maize starch in India.
Maize is one of the most important cereal crops of the world and contributes to food security in most of the developing countries. In India, maize is emerging as third most important crop after rice and wheat. Its importance lies in the fact that it is not only used for human food and animal feed but at the same time it is also widely used for corn starch industry, corn oil production, baby corns etc.
Why is maize an interesting business opportunity?
Maize farming and production business in India is a high-potential opportunity for the continent. Maize (also known as ‘corn’ in some countries) is one of the most common and important food crops across India. In fact, many of our daily diets contain maize either directly or indirectly. Production of meat, eggs and dairy products (like milk and yoghurt) would be difficult without maize, which is a hugely important ingredient in animal feed. Maize has quite a high starch content which makes it a high-demand industrial raw material. The starch obtained from maize is processed into several additives, agents and ingredients such as dextrine, sorbitol, sorbic acid and lactic acid. You may not recognize these substances but they are used in many household items that you know and use such as: ink, cosmetics, paint, medicines, syrups, ice cream, shoe polish, fireworks batteries and glue.
- The demand for starch is strong and is growing at 10 to 12 per cent every year due to rising consumption in the food and pharma industry.
- Around 600,000 tonnes of maize process every year into starch and are exploring expansion options. The domestic starch makers together consume about 2.6 million tonnes of maize every year.
- Maize starch, an excellent source of carbohydrate, is a highly versatile industrial raw material and finds extensive applications in the textile, food, pharmaceutical and paper industries.
With the growing demand from feed and starch sector, the overall demand for maize is likely to grow at a brisk pace. India has a huge potential to increase its market share and to make its presence felt in the global maize market.
Maize is mostly grown by small and marginal farmers. Hence, improved price discovery and better realization of crops become key in giving a push to maize production in India. Futures trading in maize is a step in that direction.
Between now and 2050, estimated demand for maize in the developing world will double, fueled by population growth and changing diets, the study predicted.
The vast majority of maize is produced by smallholder farmers under rain fed conditions, leading to annual variations. However, overall maize production in the country has remained relatively stable both in terms of area harvested and volume because of reliance on traditional farming methods.
Corn (Maize) is one of the most versatile emerging crops having wider adaptability under varied agro-climatic conditions. Globally, maize is known as the queen of cereals because it has the highest genetic yield potential among the cereals. As a cereal, maize is used as ingredient in food preparation; it is feed for poultry and livestock; it is feedstock for biofuel (ethanol); it is used as raw material in distilleries; and for starch production because of its high starch content.
Maize consumption within the country has been rising rapidly over the last ten years or so (about 4 per cent annually). The poultry industry accounts for nearly half of the total maize consumption in the country, followed at a distance by the starch industry. With demand chasing supplies, maize growers have generally benefited. Open market prices have generally ruled above the minimum support price. This provides a great opportunity for India. Maize needs policy support, investment support and research support.
The major products to be produced in the plant are:
- Maize/ Corn Starch Sorbitol & Dextrose
- Corn Flakes
- Dextrose Powder
- Maize Processing (Glucose, Sorbitol and Oil)
- Edible Corn Oil
- Liquid Glucose From Maize
- Corn Oil (Maize Oil)
- MAIZE PROCESSING UNIT (Starch, Glucose, Gluten, Germ, Fiber, Steep Water)
- Sorbitol
- Wet Milling
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