FMC steps to help boost agri-commodities futures trading
Futures trading in farm commodities will get a boost after the removal of penal margins and the possible restoration of open interest position by regulator Forward Markets Commission.
By PTI |
MUMBAI: Futures trading in farm commodities will get a boost after the removal of penal margins and the possible restoration of open interest position by regulator Forward Markets Commission, a top NCDEX official said here.
"The year 2008 seems to be better. FMC has removed all the penal margins and it is now relooking at restoring open interest issue, which is expected to help agri-commodities futures trading," National Commodity and Derivatives Exchange of India Managing Director, P H Ravi Kumar, said here.
The exchange, which witnessed a sharp fall in average daily volumes in 2007, has started witnessing an improvement in volumes following the FMC measures, Ravi Kumar said.
The hike in margins and ban on futures trading in wheat a and rice hit the confidence of the market.
The sooner FMC becomes an independent regulator, the better for the market, he said. "Give them the freedom, they will build the market very well," Kumar said.
"The year 2008 seems to be better. FMC has removed all the penal margins and it is now relooking at restoring open interest issue, which is expected to help agri-commodities futures trading," National Commodity and Derivatives Exchange of India Managing Director, P H Ravi Kumar, said here.
The exchange, which witnessed a sharp fall in average daily volumes in 2007, has started witnessing an improvement in volumes following the FMC measures, Ravi Kumar said.
The hike in margins and ban on futures trading in wheat a and rice hit the confidence of the market.
The sooner FMC becomes an independent regulator, the better for the market, he said. "Give them the freedom, they will build the market very well," Kumar said.
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