CPI (M) opposes autonomy to Forwards Market Commission

NEW DELHI: The Communist Party of India (Marxist), which supports the ruling coalition at Centre from outside, today opposed the government's decision to bring on ordinance to grant autonomy to Forwards Market Commission, the commodities market regulator.

The party has objected to the decision saying the proposed changes include allowing intermediaries and foreign participants to participate in the futures market.

The Left party asked the Government to instead accept the recommendations of the Parliamentary Standing Committee on the matter and bring a Bill in the forthcoming Budget session of Parliament.

"The Parliamentary Standing Committee on Food, Consumer Affairs and Public Distribution had recommended that foreign participants and intermediaries need not be allowed in commodity markets," it said in a statement.

Further, the Committee had recommended that agricultural commodities, especially food grains, pulses and sugar should not be traded in the futures market.

The Union Cabinet yesterday decided to bring an ordinance to amend the Forward Contract Regulation Act to grant more powers, including right to impose hefty fines, to commodity market regulator Forward Markets Commission.

The Government plans to empower the Commission to check manipulation and bring about greater trade discipline.