Another significant feature was the joining of inactive sectors such as cereals and oilseed, the rank of actives as their prices were quoted sharply higher. Price changes on essential counters were on the higher side owing to strong mid-week fresh buying offers from the retailers despite higher selling prices, brokers said.
The other negative factor curtailing the ready offtake was the absence of Punjab dealers from the market as majority, according to local brokers, were still in an overbought position on account of heavy buying before Eid — about a fortnight back.
Normal trading activity was expected to be resumed in the week to come as by that time the pent up demand of Ramazan would expectedly wean off, said the dealers.
However, the arrivals from upcountry trading centres were about normal and did not allow major price changes, notably on some essential counters, they added.
On export front, physical shipments of the new crop rice, mainly IRRI were maintained on the higher side as a loader was in the port stacking the rice export consignment.
Resultantly, the prices of IRRI varieties, more-so-ever the broken type showed a humble increase as the private sector exporters covered their forward positions. Some types of basmati were also quoted higher but fine ones, including Sela and kernel kept sticking to their former tags.
The new crop sugar was expected to reach markets by the end of this month as most mills situated in the Punjab and Sindh sugarcane belts will resume new crushing season from November 15.
But dealers said that there may not be any price relief to general consumer as mill owners were already floating the sugar price at Rs34 per kilo - well before the resumption of crushing operations.
On the other hand, prices of some industrial raw materials remained fairly stable due to a fall in arrivals from upcountry markets and a steady local demand.
The mid-week price flare up was led by the rice sector as private sector exporters covered their forward positions through foreign deals. New crop arrivals were on the higher side but demand was much bigger, dealers said.
The largest gain was noted in Sela type which rose by Rs200 per bag followed by IRRI-broken by Rs100 to 105, and IRRI-6 and basmati ranging from Rs25 to 50 per bag. IRRI broken too, towed the line on active export demand.
Wheat was next after them by making a mark of Rs25 on active mill demand followed by the reports of slow arrivals from upcountry centres and the holding back of stocks by local traders.
The pulses sector, on the other hand showed quiet trend as prices generally remained unchanged barring gram whole and gram dal which suffered a fall ranging from Rs125 to 150 per bag on selling prompted on reports of larger arrivals from Sindh markets.
The cereal sector maintained a firm trend amid reports of tight ready position. Prices of maize, bajra and barley which were ruling unchanged for last couple of weeks were quoted higher by Rs50 to 150.
After remaining dormant during last few weeks, oilseed sector also came in for strong support followed by reports of pressure on ready supplies. Major seeds, particularly rapeseed were quoted higher by Rs80 to 95 per 40kg followed by reports of higher oil and cake price.
Nevertheless, til fell by Rs150 on selling driven by reports of falling export demand, while castorseed and cottonseed were traded at last levels.
In sympathy to rise in prices of major seeds, both cottonseed and rapeseed cakes also came in for strong support from the crushers and both were quoted higher by Rs42 to 95 amid active trading demand from the forward counter.—M.A.