TRADING activity on the Karachi wholesale commodity markets remained relatively slow with the advent of the holy month of Ramazan last week as prices of most of the essential items remained stable and there was no reports of speculative increase.

According to sources from the Karachi grain and seeds market, price changes were nominal and there was no speculative increase in prices of essential items at the wholesale levels.

“Official intervention to keep prices low during Ramazan and fears of action against price-ist violators may be one of the reasons behind the slow ready off-take”, they added.

However, ready off-take from the wholesale market by retailers or the Jodia bazaar dealers was on the lower side, which also contributed to the prevailing price stability, they said.

Although arrivals from upcountry markets were well below the normal, local dealers did not indulge in hoarding and supplies for the retail outlets were maintained at normal levels.

Despite early week lull, which allowed the prices to maintain previous levels, activity picked up after mid-week as by that time dealers had assessed the outcome of official intervention in some of the wholesale markets and resumed normal trading, some others said.

Commodities dealers said the activity during the month of Ramazan is expected to remain below normal as most of the retailers had covered their entire month’s quota before the advent of the holy month fearing a price flare-up.

But repots coming from the retail sector are not that encouraging as in most of the local markets prices are quoted much higher even after adding retailers’ profit, as compared to the wholesale rates.

Prices of some essential items eased from the pre-Ramazan level where alternative arrangements were made by the government, notably through the utility stores.

The fall of Rs100 per bag in sugar price, however, reflects that some of millers released larger stocks on the open market in an apparent effort to provide relief to general consumers, said a leading dealer.

Prices of other essential items including wheat and pulses were mostly maintained at previous levels amid reports of fall in consumer demand and larger release of stocks by importers.

Trading on the pulses sector remained slow as consumers had already covered their Ramazan need during the pre-Ramazan trading sessions fearing a price flare-up.

Masoor whole and masoor pulse imported types were, however, exceptions, which came in for selling from the leading importers and fell sharply lower amid slow activity.

But other types including gram garda, gram dal, moong and urad were traded at the last levels amid slow ready off-take.

Among other essentials, sugar came in for modest selling and was marked down by Rs100 per bag of 100 kg but on the other hand desi sugar did not show any change and was held at the last level.

Gur was an exception, which followed white sugar and fell by Rs100 in the absence of strong export demand and comfortable local positions owing to steady arrivals from Sindh markets.

Baring IRRI-6,which was marked down by Rs100 per bag followed by reports of an imminent arrival of the new crop, all other types including kernel and sela basmati were traded at previous levels in the absence of exporters.

Cereal sector also remained dormant in the absence of fresh buying orders and as a result prices of maize, jowar and bajra were held unchanged at the previous levels. Guar seeds followed them.

Cotton showed divergent trend amid conflicting reports about the size of the crop and damage owing to pest attack and its prices fluctuated between Rs4,200 - 4,125 per maund.

Other major seed including rapeseed, til, castor seed were held unchanged at the last week’s rates amid falling mill demand owing to higher rates.

Oilcakes showed a modest fall for the cottonseed cakes, while rapeseed cakes were firmly held at previous levels amid slow ready off-take.—M.A.