The crop could be just half of the 8.44 million tonnes in 2006 and a record 9 million in 2005, when Hungary accumulated a grain pile filling half of the European Union's intervention stores, he said.

The outlook could still improve with the weather, he said, but no relief was seen coming soon as authorities on Thursday extended a national heat alert until next Tuesday.

The Hungarian Grain and Feed Association, which represents traders, said prices already reflected the expectation of a large fall in the maize crop.

"It is too early to say there will only be 4 million tonnes," General Secretary Zsofia Potsa told Reuters.

"If the crop is halved it could cause a problem because there will be no stocks to export or very little," she said.

WHEAT CROP DOWN

Hungary's wheat crop has also fallen compared to last year, the Agriculture Ministry said.

Farmers have harvested 3.85 million tonnes from 96 percent of the area, compared to last year's total crop of 4.4 million a year ago, State Secretary Fulop Benedek told news agency MTI.

Potsa said Hungary would have 1 million tonnes of wheat to export in 2007/08 even if more pessimistic crop forecasts around 3.5 million tonnes came true.

"There is an unbelievable demand market, prices are going up each day," she said.