April 09, 2007	Monday	Rabi-ul-Awwal 20, 1428

THE local wholesale commodity markets last week ruled relatively quiet as commercial houses and brokers unlike the previous week remained conspicuous by their absence.

For the second week in a row prices of most varieties of pulses fell sharply lower on selling by importers. There was, however, a relative quiet on this and other essential counters, dealers said.

Arrivals from upcountry markets of some newly harvested commodities were on the higher side of the weekly average, which in turn checked fresh price flare-up, they added.

Harvesting of new crops of wheat, gram, masoor and other commodities is well in progress in the wheat belt and arrivals are expected to further pick up, which could push prices of some of the essential items lower. Market sources said fall in wheat prices could have a chain impact on other essential items including imported stuff under the lead of pulses.

But on the other hand, there was no easing in prices of sugar despite active sales from the official outlets as millers were holding back bulk of the new product. Prices of sugar, therefore, fluctuated from area to area depending on local demand, they added.

On the export front, rice prices failed to maintain their previous higher levels despite the fact that bulk of the unsold stock was in the hands of local stockists and private sector exporters, they said. However, late selling by some of the local stockists pushed prices of both IRRI and fine types of Basmati modestly lower amid active trading. An idea of physical shipments against forward deals may well be had from the fact that one or two rice loaders remained busy in the port throughout last week loading the commodity.

Floor brokers said prices of rice may remain around the current levels before the arrival of new crop some time in late August or early September. Reports from the rice belt indicate the country may harvest another bumper crop.

There was a relative calm on the industrial raw material sector as ready stock position was fairly comfortable to meet any demand from the industrial users. The market advance was led by some of the essential items under the lead of wheat and fine types of rice amid conflicting reports about the ready position. Basmati and IRRI-9 types rose by Rs100 each per bag, IRRI broken, IRRI-6 and sela type of basmati were quoted lower by Rs10 to Rs50 on reported selling by some of the exporters owing to fall in foreign demand and higher local rates.

Pulses remained under pressure followed by reports of fresh selling by commercial houses and fell by Rs200 to Rs250 per bag for imported type of urad and moong. Others were traded at the previous week’s levels.

Wheat on the other hand showed a modest rise of Rs10 despite reports of steady arrivals of the new crop from the Sindh market. Dealers attributed the increase to speculative buying by leading stockists.

Cereal sector showed divergent trend amid slow trading owing to steady arrivals from the Sindh markets. Bajra posted modest rise of Rs25, while jowar fell by Rs5, with maize holding on to the last levels.

On the oilseed sector, rapeseed came in for strong buying by the crushers and rose by Rs55 to Rs80 per 40 kg. Reports of a short crop in Sindh were another bullish factor. Other major seeds including cottonseed, castor seed and til, on the other hand, were quoted unchanged as local supplies were enough to meet the local demand in the absence of exporters.

Oilcakes showed divergent trend and while rapeseed cakes were quoted higher by Rs35 to Rs45, cottonseed cakes suffered fall ranging from Rs15 to Rs35 on selling by stock holders.

—M.A.