PRICES of some essential items fell last week on the selling by stockists and the absence of commercial and brokerage houses from the trading. What accelerated the selling was the falling demand by retailers and some wholesalers amid talks of a fresh fall in the prices.

Pulses led the decline on essential counters triggered by reports of arrivals of the imported stuff from various countries, including Iran and Australia.

Both masoor whole and dal imported were leading among losers which were ruling at higher levels for last couple of weeks. But a steep decline in their prices failed to induce sympathetic selling on other counters.

Wheat eased modestly from the current level as supplies matched the mill-demand well - thanks to steady arrivals from the interior markets and release of fresh stocks from the official godowns, dealers said.

There, however, was no change in wholesale sugar prices despite steady arrivals of the imported stuff and selling by some private sector importers over the week, they said.

Another ship with 13,443 tons of the commodity also arrived last week but it failed to pull the prices down. There were reports of a possible decline in prices once the TCP released fresh imported stock before Ramazan i.e., early next month.

Rice sector again stayed dormant as prices were unchanged despite reports of arrivals of two loaders last week.

Commercial traders said that the new crop was due later this month or early next which may lower the prices depending on the size of arrivals, notably Irri varieties.

It was interesting to note that among major industrial raw materials guar eased from its current level of Rs2,200 per bag on selling by the stockist on exports of rains in Tharparkar where the prospects of future crop were brightened.

But physical business remained low as prices were still high and well above the export parity level. Processors stayed on the sidelines awaiting further decline in the coming weeks.

Much of the activity was confined to the pulses sector on conflicting reports of ready position. The decline on essential counter was led by the hasty selling by some importers on fears of a further fall in prices.

The largest decline of Rs100 to 300 per bag was recorded in masoor whole and masoor dal. Beetle also followed it, off Rs25 to 50.

Moong on the other hand, after early weakness, rose by Rs150 to 275 per bag on active support extended by the Punjab dealers while other varieties were traded at last levels.

Among other essentials wheat fell by Rs5 to 10 on selling by local dealers followed by the reports of steady arrivals from the Sindh markets and the falling mill demand.

There was no change in sugar at the wholesale level as for the fourth week in a row stray business was reported at previous levels. Selling by some private sector importers was also witnessed but it failed to push the prices down, dealers said.

Barring a modest fall of Rs25 in Irri broken, all other varieties were traded at last levels despite reports of pressure on ready supplies. A ship was in the port loading the commodity against forward sales.

On the cereal sector, maize came in for stray selling followed by reports of steady new crop arrivals and suffered a fresh setback of Rs50 per bag, while jowar and bajra were held unchanged.

Guar came in for renewed selling from the stockists followed by reports of fresh rains in Sindh guar belt and of a good crop. It fell by Rs150 per bag for the second week in a row.

Oilseed sector again stayed dormant as prices of major seeds including cottonseed and rapeseed were held unchanged followed by reports of a comfortable ready position - thanks to steady arrivals from the Sindh markets.

But on the other hand til suffered a fresh decline of Rs50 amid reports of falling demand and higher new crop arrivals while castorseed were quoted unchanged at previous level.

Oilcakes ruled unchanged for rapeseed cakes, while cottonseed cakes rose by Rs10 to 15 followed by reports of higher oil market and a fall in arrivals from the Sindh ginneries.—M.A.