PRE-holiday mood prevailed on the Karachi commodity wholesale markets during the previous week as demand from general consumers was on the higher side, which pushed prices of some essential items sharply higher under the lead of kernel basmati. Physical activity was mostly confined to pulses and rice as prices of some of them showed modest to sharp increase under the lead of basmati rice, gram whole and gram pulse and others items widely used in various Eid dishes, dealers said.
The wholesalers, on the other hand, mostly held to sidelines as most among them were inclined to clear a good part of their stocks of essential items before Eid, rather than making fresh commitments on any of the counters.
Rice sector, which came in for heavy battering on active selling by local stockists followed by reports of some problems on the export front, resisted fresh decline as selling dried up, they said.
Other factors which halted fresh fall in price of rice were reports of pest attack in some parts of Sindh rice belt and damage to the crop. Pest attack close to the tine of harvesting causes major damage to per acre yield, market sources said. Other sources said the damage to crop in Sindh was not that serious and indications were that the crop could touch limit of another bumper yield.
The country harvested a bumper crop last season, but owing to higher exports both of IRRI and basmati types, prices at local level rose to an all-time high and were still ruling well above the normal rates as compared to last several years. Market sources and general consumer are expecting sharp fall in prices of rice during the current season, but pest attack reports, perhaps, had not allowed any relief to consumers.
However, because of some problems on export front, notably local higher prices are among reasons behind slow export and fresh deals, they added. The mid-week pre-Eid buying on counters of some of essential items, mainly pulses and rice, caused price flare-up as supplies did not match the local demand.
The largest rise of Rs300 to Rs700 per bag was recorded in kernel type basmati partly on local pre-Eid demand and partly to reports of fresh export deals. IRRI-6 was marked up by Rs25, while other varieties were traded at previous levels.
Pulses followed them under the lead of gram whole which rose from Rs200 to Rs300 per bag of 100 kg for the both. Masoor, masoor pulse and moong followed them, which also posted gains ranging from Rs100 to Rs250. But, on the other hand, beetle and urad came in for active selling and were marked down by Rs125 to Rs190 per bag.
While sugar prices remained stable around previous levels, wheat was quoted further higher by Rs50 on the wholesale market despite official claim of fall in prices of flour. Gur was an exception, which was quoted lower by Rs300 per 40 kg followed by reports of slow demand from Afghanistan.
Barring a fresh rise of Rs100 per bag in prices of barley on active export demand and slow arrivals from upcountry market, cereals generally held at the previous levels under the lead of maize, jowar and bajra.
Oilseed sector also lacked support from the crushers as prices of major seeds including cottonseed, rapeseed and til were held unchanged at the last levels amid reports of comfortable ready position.
Castor seed was, however, an exception, which came in for active support both from local crushers and the foreign buyers after a relative lull for the last couple of week and were quoted higher by Rs50 to Rs100 per 40 kg bag.
Oilcakes ruled unchanged for the rapeseed cakes, while cottonseed cakes were quoted higher by Rs10 per bag on active local demand.—M.A.
PRE-holiday mood prevailed on the Karachi commodity wholesale markets during the previous week as demand from general consumers was on the higher side, which pushed prices of some essential items sharply higher under the lead of kernel basmati. Physical activity was mostly confined to pulses and rice as prices of some of them showed modest to sharp increase under the lead of basmati rice, gram whole and gram pulse and others items widely used in various Eid dishes, dealers said.
