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Pakistan rice prices held firm in the past week amid high demand from exporters, and traders said they would rise further as stocks fell.
The key IRRI-6 variety was quoted at 1,350 rupees per 100 kg, up from last week's 1,225 rupees.
"Our season is ending, and the stocks have almost finished," said Haji Abdul Majeed, an exporter in the port city of Karachi.
"As the stocks grow weaker, the domestic prices will obviously rise further."
Traders said only about 100,000 tonnes of stock was available and prices would remain high until fresh supplies came in from the new crop in September.
Another trader said Kenyan buyers were very interested in Pakistani rice but stocks were too low to meet their demand.
Rice output for the current fiscal year until June 30 is expected to be around 4.2 million tonnes, compared with domestic consumption of more than 2.0 million.
The government has said it hopes to export 1.9 million tonnes this fiscal year, against last year's 1.72 million.
Traders said a few exporters were shipping small cargoes to meet old commitments but there were no fresh orders and activity would remain slow before picking up in October.
Pakistan's crop year runs from April to November. Sowing normally starts in mid-April and harvesting begins in September, but peaks in October.
Iraq, Sri Lanka, Bangladesh and East African countries are the main importers of Pakistani rice.

Copyright Reuters, 2004

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