Review of Developments in the Pakistan Economy

Abstract

Prices of wheat and rice showed divergent trends during the period October to December 1961. While prices of wheat in the Lyallpur market recorded a net advance of Rs. 0.25 per maund over the period under review, prices of rice (msdium quality) in the Dacca market registered a net decline of Rs. 3.60 per maund. In the case of wheat, price fluctuations were small and there was no deterioration in the overall supply situation. Moreover, as compared with prices a year ago, the end-December 1961 prices were around Rs. 1.25—2.00 per maund lower at Rs. 14.00—16.25 per maund. On the other hand, a sharp increase in the prices of rice at Dacca from Rs. 32.40 per maund at the close of September to Rs. 37.60 in October was held in check only after the release of government-held stocks. Subsequently, prices fell persistently when the 'aman' crop was harvested and the market received continued inflow of the new crop. By the end of December, medium quality rice reflected a greater decline than the earlier increase in prices so that the quarter under review closed with a net fall of Rs. 3.60 per maund of Rs. 28.80. However, the corresponding quotation a year ago was still lower at Rs. 27.50.