QUIETER conditions prevailed on the local wholesale commodity markets during the last week as buyers and sellers kept to the sidelines most of the time awaiting new developments on the Afghan war front.

However, at the weekend session some of the essential items came in for modest support and rose modestly under the lead of wheat, IRRI-9 Punjab type, masoor and gram; rising by Rs25-50 per bag of 100kg.

There was, however, no panic buying from any quarters as commercial houses and brokers were not inclined to hold on long positions on any of the counters amid war-like local conditions, dealers said. What seems to have further curtailed the daily activity were the strikes, processions and meetings against the US air attacks on Afghanistan and the civilian casualties, they added.

The local inter-market physical business was also at its lowest ebb as no one among the stockists or commercial houses was in a mood to build-up long positions even at the lower offered rates. Most wholesalers claim unlike the previous crisis, there is no pressure on supplies this time as the ready position is pretty comfortable. This was because of the un-interrupted and steady arrivals from the upcountry trading centres, which ensure easy supplies and almost at the previous week’s levels.

The worst-hit was the export sector, notably the rice and wheat as no ship arrived to load the commodity for the last couple of weeks despite the market talk of fresh deals, with some of the foreign buyers for rice, both IRRI and Basmati, dealers said. On the import sector, price of pluses remained stable despite the fact that the foreign shipments of the commodity were claimed to be on the lower side since the Afghan war as importers were not inclined to make fresh deals on the fears of delivery problems, the dealers said.

The interesting feature was that the prices of both essential items or the industrial raw materials remained stable at the previous week’s levels and did not fell on selling prompted by slack demand, they added. Market sources say the export sector may stay dormant until the war in Afghanistan is over as foreign buyers are holding back orders on the fears that some shipment problems may arise if the Afghan war lingers on for an indefinite period.

While the wholesale markets did not record any uneven price movements, instances of stray price flare-ups, notably on the essential sectors were not wanting, although price changes were modest, they added. All important essential items did not show major changes partly because of the slow demand in the absence of the buyers from Punjab markets. The market rise was led by wheat, which posted a modest increase of Rs25 per bag of 100kg on active mill-demand prompted by reports of fall in arrivals from the upcountry markets.

Sugar on the other hand resisted fresh fall on the revival of local demand amid fears of pressure on supplies owing to the US attacks on Afghanistan and the reports of delay in the new crushing season.

Pulses showed quietly firm trend amid slow ready offtake. But all varieties including the peas, gram dal, tuver came in for stray support and were quoted unchanged at the previous levels amid modest ready offtake. Gram whole and masoor imported type were an exceptions, which rose by Rs300 to 50 amid stray buying. Beetle and Peas on the other hand fell by Rs10 to 15.

Guar also followed the lead of pulses and but fell by Rs10 as mill demand failed to pick up ahead of new crop arrivals. All types were again held unchanged. Barring bajra, which managed to consolidate previous gains, all other cereals including maize and jowar were held unchanged for want of buying support.

The oilseed sector showed firm trend as all major seeds including the rapeseed did not show any change from the previous levels; castorseed and til came in for stray selling followed by the reports of fall in export demand. While castorseed also followed them the groundnut again remained unquoted as arrivals from the Punjab markets remained suspended.

Cottonseed came in for stray support in sympathy with firm oil and cakes markets and rose by Rs6. Oilcakes maintained upward drive for both rapeseed and cottonseed cakes were traded higher by Rs10 to 15.—M.A.