PRICES of pulses on the Karachi wholesale commodity markets fell from the inflated levels which prevailed during the last couple of weeks. The decline was due to improvement in supplies partly owing to steady imports to fill in supply gaps, and partially to the release of unsold stocks by local dealers.
The holiday-shortened week thus saw a major change in the market psychology as commercial houses sold their long positions in quick succession fearing law and order situation in the aftermath of Nishtar Park tragedy, dealers said.
The other destabilising factor behind the falling prices was the three-day mourning as a mark of respect to the departed souls of the Tuesday’s suicide attack on an Eid Milad-un-Nabi congregation in the city, they added.
Commodity dealers appeared to be more concerned over the law and order situation in the backdrop of prevailing tension rather than making fresh buying on the falling prices, some others said.
Physical activity, therefore, remained dull on all counters barring pulses where leading stockists tried to lower their unsold positions amid conflicting reports about the city’s law and order situation, they said.
Other major essential items, including wheat and rice did not show much change as supplies matched the ready demand. Physical shipments of rice, notably IRRI types were maintained on the higher side to meet shipment deadlines against the forward deals as a rice loader was in the port to load the commodity.
On the other hand arrivals of new crop wheat were interrupted owing to the market closure for couple of sessions due strike calls. However, prices remained stable around previous levels owing to steady local supplies.
Harvesting of wheat is gaining momentum by each passing day in the entire wheat belt but arrivals and local supply are expected to improve further after the arrivals from the upcountry markets get normal, brokers said.
But the news from sugar front was not that encouraging as prices remained on the higher side throughout the county, touching the peak level of Rs40 per kg in some areas, they said.
Two ships with 36,000 tons of sugar are in the port unloading consignments. Whether or not these will lower the ruling prices after reaching retail outlets is anybody’s guess, some others said.
Prices of major industrial raw materials remained on the higher side despite falling demand from the users as both buyers and sellers maintained a status quo until apparently the next trading week.
Among pulses, imported type came in for active selling at highly inflated level fell sharply lower but gram whole and gram dal were exceptions which rose by Rs325 t0 400 per bag on reports of short new crop.
The selling was attributed to the larger arrivals from Sindh markets amid reports of dumping of hoarded stocks by some leading importers fearing further fall in prices.
But on the other hand gram dal came in for strong support and rose sharply followed by reports of pressure on local supplies owing to a considerable decline in arrivals from the upcountry trading centres.
Cereals attracted normal support and were quoted higher under the lead of barley and bajra, while among major industrial items, guarseed again was traded on the higher side.
Oilseed sector, on the other hand, stayed dormant as prices of rapeseed were firmly held at previous levels despite larger new crop arrivals from the Sindh markets. Steady oil and cakes market did not allow the prices to fall from the current levels.
Cottonseed and til on the other hand were traded around previous levels as supplies matched the local demand and firm oil markets.
Castorseed was an exception, which rose by Rs25 on modest export demand.
Oilcakes on the other hand rose by Rs15 to 18 for rapeseed cakes amid reports of pressure on new crop supplies, while cottonseed cakes were held unchanged at last levels.—M.A.
PRICES of pulses on the Karachi wholesale commodity markets fell from the inflated levels which prevailed during the last couple of weeks. The decline was due to improvement in supplies partly owing to steady imports to fill in supply gaps, and partially to the release of unsold stocks by local dealers.
