Prices of essential items on the Karachi wholesale commodity markets remained stable during last week, as supplies matched the ready demand without any major uneven movement.
Arrivals from the upcountry markets were fairly steady and did not allow any major change in weekly price outlook, as supply gaps here and there were steadily filled in.
Unlike previous week, demand from the upcountry traders, notably from Lahore and Faisalabad remained on lower side, which in turn did not allow either-way price flutters on some essential counters.
While most export items did not show major price changes under the lead of rice, wheat maintained its upward drive followed by reports of steady shipments against the previously signed deals.
A ship was in port during the week and about 4,000 tons of wheat were loaded each day. The shipment was meant for a Gulf destination, market sources said.
They said the government has decided not to suspend wheat export despite the fact that local crop was barely enough to meet home demand on the ground that the newly explored export outlets should not be left dry as the gap may be filled in by some other country.
Owing to a bumper crop, both private sector exporters and the Trading Corporation of Pakistan (TCP) last year had exported about a million tonnes of the commodity to a dozen countries.
The newly explored export markets for wheat will, therefore, be secure for exportable surpluses for next crop as a part of the foreign demand is being met from the buffer stock, dealers said.
Owing to late pressure on supplies and fears of holding back of stocks by the growers and upcountry traders, the prices posted gains ranging from Rs35 to 40 per bag.
Sugar eased by Rs10 per bag on late week selling followed by reports that the TCP is almost completing its 0.1 million export target sold to foreign buyers through international tenders.
Arrangements are also being made to sell another about 0.3 million of the commodity by both commercial exporters and the TCP, out of an exportable surplus of half a million tonnes, market sources said.
However, on the fears of oversupply followed by reports of steady arrivals from the mills eased the prices by Rs10 per bag towards close of the week.
Prices of kernal and sela types of basmati were held unchanged, while basmati broken posted a modest rise of Rs10 per bag on the reports of fresh export enquiries and short supply position. All other types were held unchanged.
Pulses showed mixed trend in the third consecutive week in the absence of strong demand and suffered fresh fall ranging from Rs20 to 100 for urad, masoor dal, while all other varieties remained pegged at previous levels.
Cereals showed quiet trend followed by reports of active arrivals from the upcountry markets. Prices of jowar and bajra were firmly held at the previous levels, while maize came in for modest selling and fell by Rs5 to 10. Barely was again traded at last levels in the absence of strong buying from exporters.
Guar attracted modest selling followed by reports of rain in the sowing areas and finished with a decline of Rs20. Reports that the new crop could be higher because of timely rain at the time of sowing prompted selling from local dealers.
Oilseed sector showed firm trend amid active trading as prices of rapeseed were again firmly held at previous levels owing to steady oil market.
Castorseeds, were actively traded on the lower side on active selling from local dealers followed by the reports of steady arrivals from Balochistan. Lasbela variety showed a decline of Rs25, while others were quoted unchanged.
Til also came in for renewed selling from local exporters and was quoted lower on the reports of steady arrivals from the upcountry markets and fell by Rs50.
Oilcakes showed mixed trend. While cottonseed cakes suffered fresh fall of Rs3 in sympathy to weak seed market. Rapeseed cakes rose by another Rs5 to 6.—M.A