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Some essential items consolidated their previous gain on the wholesale commodity market during the previous week but supply position remained fairly comfortable owing to steady arrivals from upcountry trading centres. However, some type of pulses could not sustain last week’s sharp rise and ended lower under the lead of masoor followed by reports of fresh selling by a leading importer.
Sugar remained in the news throughout the week followed by reports of failure of talks between the sugar mills association and the government to procure the commodity through official channels to stabilise its prices on the open market.
In the process, however, its prices fell and were last quoted at around Rs55 per kilo with dealers expecting further fall.
The arrest of downward drift in cotton prices was the week’s another notable feature. Reports were there that the TCP had given indication to purchase about a million bales from ginners at Rs5,500 per maund to ensure a fair return to growers.
Prices were expected to rise further from the current levels and could stabilise around official procurement rate of Rs5,500 per muand.
On the industrial counter, guar seed maintained its upward drive for the second week in a row on reports of a short crop. The net increase over the week was of the order of Rs500-800 per 100 kg at Rs80 per kilo, a record high so far.
The cereal sector, on the other hand, stayed week on selling prompted by larger arrivals from upcountry markets and falling demand by the end-product users.
Wheat: Prices of wheat remained steady despite supplies in far excess of demand. The rise in prices was Rs5 per maund amid slow activity.
Sugar: Reports of failure of talks between the TCP and the Pakistan Sugar Mills Association to buy about 0.2m tons of sugar pushed down its prices both at the wholesale and retail levels on renewed selling.
While prices of white sugar were traded lower on wholesale markets, retail prices were quoted further higher around Rs55 per kilo.
Desi sugar did not show any change and so did gur which was quoted unchanged owing to fall in demand from Afghanistan.
Pulses: Pulses again remained in active demand but were held unchanged under the lead of gram and gram dal on renewed support and except for masoor, were quoted sharply lower.
Rice: Prices of new IRRI-6 crop were quoted modestly lower on selling by local stockists in absence of demand from private sector exporters. Prices of basmati varieties including kernel and sela types, lacked active support of exporters and were held unchanged.
Cereals: This sector showed easy trend under the lead of maize, jowar and bajra on selling triggered by reports of rise in arrivals from Sindh markets. Maize led the list followed by others, while jowar was quoted unchanged.
Among other cereals, barley led the advance followed by reports of active buying by leading exporters but was quoted unchanged at previous level.
Oilseeds: This sector, on the other hand, showed easy trend under the lead of rapeseed on selling reported by new crop arrivals, and prices were quoted lower by Rs100 per bag.
Prices of other major seeds, including cottonseed were held unchanged barring til which fell sharply lower by Rs50 per 100 kg.
Castor seed with higher export demand was quoted modestly higher amid active trading.
Cotton: Its prices earlier recovered from previous lower levels on active spinner buying and was quoted higher but late selling followed by reports of rise in arrivals of phutti and fall in mill demand, pushed its prices below Rs5,000 per maund.
Oilseeds: Prices of cottonseed were quoted lower as new crop arrivals were on the higher side leading to decline in price.
Oilcakes: Rapeseed cakes showed modest fall but later came in for active selling under the lead of cottonseed cakes on reports of large new crop arrivals and fell sharply lower—M.A
