The wholesale commodity markets of Karachi showed mixed trend last week as prices of some of the essential items fell, while others rose. The rise and the fall were orderly and did not reflect pressure on the supplies.

According to brokers, the ready position remained fairly comfortable throughout the week, partly on account of steady arrivals from the upcountry trading centres and due to the active release of stocks by leading commercial houses.

There were no reports of holding back of stocks by the leading brokerage or commercial houses, which in turn kept a check on the prices on wholesale markets.

But reports coming from the retailers’ show a substantial rise in the prices of essential and perishable items, and it was pretty difficult to check this increase. But there were reports of Ramazan-related price hike on some counters, the dealers said.

Reports from the export front were encouraging, as despite larger arrivals of new crop Irri varieties from Sindh markets and steady exports, the prices of rice declined on account of selling by the agents of the growers, they added.

Meanwhile, the news from wheat export front were positive as apart from new contracts, physical shipments against the previously signed agreements to various countries were being made steadily.

However, sugar did not react bullishly to reports that the government has allowed the Pakistan Sugar Mills Association (PSMA) to export of 0.1 million tonnes of the commodity.

According to the PSMA sources its members still hold a carryover stock of half a million tonnes, and even after retaining half of the commodity as buffer stock, the balance left is an exportable surplus.

The sugarcane crushing season was expected to resume from November 15 in Sindh, and possibly on the same date in the Punjab belt, too. The new crop stocks were expected to reach markets by the first week of next month.

Physical shipments of wheat from the previous export contracts were still under way, while the prices rose modestly on stray buying by the local mills and on the fears of pressure on ready supplies. The net rise was Rs5 per bag.

Sugar on the other hand resisted fresh decline on steady local demand, followed by the reports of official consent to export 0.1 million tonnes of the commodity to foreign countries with certain conditions. Desi sugar was held unchanged, while gur fell by Rs100 on selling followed by the reports of steady new crop arrivals.

Rice again showed mixed trend amid active two-way trading. While Irri-9, Irri-6 and its broken types suffered fall ranging from Rs10 to Rs30, basmati was again quoted higher by Rs100 per bag. Basmati, both kernal and sela types were traded at the last levels amid slow export demand.

Pulses depicted mixed trend amid alternate bouts of buying and selling. While masoor dal and urad posted gains ranging from Rs25 to 100, gram, gram dal and beetle suffered fall ranging from Rs50 to 100.

Guar stayed dull in the backdrop of slackened demand from local processors and the prices of all varieties remained unchanged.

Cereals again showed mixed trend as jowar suffered fresh fall of Rs20 to 25, while maize rose by Rs20, with bajra remaining pegged at the previous closing level.

The oilseed sector ruled easy as the prices of rapeseed were marked sharply lower by Rs20 to 30 per maund on selling prompted by the reports of weak oil market, but til on the other rose by Rs25 on active export demand. Castorseed on the other hand lacked exporters’ demand and were held unchanged.

Oilcakes came in for active selling as the price of rapeseed cakes were marked down by Rs8, while cottonseed cakes were traded at the previous levels.—M.A