Commodity News Snapshot-Pakistan

Government decides to waive 25 percent regulatory duty on raw sugar import

ISLAMABAD (September 17, 2010): The federal government has decided in principle to waive the 25 percent Regulatory Duty (RD) on import of raw sugar to plug in the expected shortage next year. However, the quantity of raw sugar import is yet to be finalised, well-informed sources told Business Recorder.

SGA urges federal government to allow tax free import of raw sugar

LAHORE (September 17, 2010): Sugarcane Growers Association (SGA) Convenor Javed Malik has urged the federal government to act swiftly in the interest of consumers (common men) and allow tax free import of raw sugar to meet any possible shortage of sugarcane and stabilise the sugar prices in the open market.

Gold prices touch new peak

KARACHI (September 17, 2010): Gold prices continued to reach new peak of Rs 40, 550 per tola on the local market following a global market surge to $1273 an ounce on Thursday, traders said. Gold price crossed the last high of Rs 40, 275 per tola as market closed on new historic high with increase of Rs 275. Price of gold per 10 grams also hit a fresh high of Rs 34, 757 up from Rs 34,521 in a single day trading, traders said.

Sub-committee formed to finalise details of raw sugar import

ISLAMABAD: Ministerial Committee set up by economic coordination committee (ECC) on sugar Thursday formed a sub-committee to decide within a week the details of the quantity, timing and modus operandi of import of raw sugar for the season 2010-11.

Lint prices sustain upward rally

KARACHI: Lint prices continued to rise on higher demand by leading buyers while trading activities remained range bound with strong physical price at Karachi Cotton Association (KCA), traders said Thursday.

International News

Liffe sugar higher

LONDON (September 17, 2010): Liffe December white sugar ended $15.00 higher at $608.20 per tonne on Thursday, supported by worries over the impact of drought on Brazilian yields. Liffe December cocoa ended 31 pounds higher at 1,884 pounds a tonne. Market rebounding after falling to lowest level in more than one year earlier in the week but favourable outlook for crops in West Africa should keep a lid on prices.

New York sugar retreats

NEW YORK (September 17, 2010): Sugar futures retreated on profit-taking Thursday from a 6-1/2 month top in the face of a resurgent dollar after Japan weakened its currency for the first time in six years. The rest of the complex consolidated, with cocoa futures pressured by favourable prospects for crops in West Africa, the world's premier cocoa-growing region.

UK July wheat exports rise above 50 percent

LONDON (September 17, 2010): UK wheat exports during July, the first month of the 2010/11 marketing year, were 251,733 tonnes, up 52 percent from 165,636 tonnes in the same month last year, customs data showed on Wednesday. The total included an unusual sale of 58,314 tonnes to Vietnam. The only sale of UK wheat to a customer in Asia during the 2009/10 season was 49,500 tonnes to the Philippines.

Commodity News Snapshot-Pakistan

105,000 tons of sugar: TCP unable to open LC

Despite finalisation of sugar import contracts a month ago, the Trading Corporation of Pakistan (TCP) has been unable to open Letter of Credit (LC) for import of 105,000 tons of sugar because of shortage of funds. Sources told Business Recorder on Tuesday that at present the corporation is facing acute shortage of some Rs 4 to 5 billion to open LC of the last tender.

Sugar price increased by Rs five per kg in Peshawar

In less than a month's time, the price of sugar has been increased by Rs 5 per kilogram at the wholesale market in the provincial capital. Two weeks ago, the price of a 50-kilogram sack of sugar was Rs 3,840, which is now being sold at Rs 4,030. Similarly, sugar was being sold at Rs 76 per kg in the wholesale market and has mounted to Rs 81 per kg.

Provinces yet to announce cane support price: crushing may not start from October 1

Although, the country is already facing shortage of sugar due to low production of sugarcane crop last year, the provinces seem reluctant to announce the minimum support price for the crushing season 2010-11, which according to Sugarcane Factories Act 1950 should commence from October 1.

Major portion of allotted wheat quota: Lahore, Rawalpindi flour millers asked to lift from nearby cities' godowns

Punjab food department has asked the flourmills of Lahore and Rawalpindi to lift the major portion of their allotted wheat quota from the godowns situated in nearby cities at their own expense.

Wheat prices register increase

KARACHI: Without any plausible reason wheat prices have surged in the open market of Karachi in the post-Eidul Fitr period creating apprehension among consumers regarding increase in flour rates during the next few days.

THE RUPEE: all-round fall

All-round decline was seen on the currency market on Tuesday as a result of higher demand for the US dollars, dealers said. All the markets reopened after a 4-day closure, including banks, so the rupee was able to retain its outgoing week level versus dollar and euro, losing modestly in both interbank and open market, analysts said.

Over two million cotton bales destroyed by floods: Aptma

KARACHI (September 15, 2010): While expressing his views in connection with the damage to the cotton crop as a result of floods, M. Yasin Siddik, Chairman APTMA Sindh-Balochistan Region said that before the floods Pakistan was expecting a bumper crop of 14 million bales compared to 12.8 million bales produced last year.

Upward trend prevails on cotton market in post-holidays session

Upward trend was seen on the cotton market on Tuesday during the post-holidays session, dealers said. The Karachi Cotton Association (KCA) official spot rate was jumped by Rs 150 to Rs 6,550, they said. In the ready business, prices went up sharply and nearly 6,600 bales of cotton changed hands between Rs 6600-6750, they said.

Crops over 6 million acres in 11 districts of Punjab damaged

Crops over more than six million acres in 11 districts of the Punjab province have been damaged by the flood and a loss of more than Rs 87 billion has been suffered. This has been informed at a meeting chaired by the Punjab Chief Minister Shahbaz Sharif here on Tuesday to review a proposed relief package for the growers who suffered losses due to the flood.

Sindh estimates Rs 446.8 billion damage to agriculture, infrastructure

Sindh government has estimated Rs 446.8 billion damages to agriculture and infrastructure in the province by the devastating floods. The provincial government would provide interest-free loans to the flood-hit people of severely affected districts for agricultural rehabilitation. So far the provincial government has disbursed some Rs 2 billion in flood-hit areas of the province to provide food and medical treatment to the survivors.