 "FMC gives NCDEX nod to launch forwards in 7 more commodities")
Forward Markets Commission, the commodity markets regulator, has given National Commodity & Derivatives Exchange permission to launch urad, tur, yellow peas, yellow soymeal, pepper, RBD palmolein and bajra.
The regulator has also said that the terms of the contract should not be changed without prior approval from the regulator and also a monthly report needs to be sent to the commission along with a market report. The exchange should also ensure that there is no unhealthy trading practices.
Last month, FMC gave permission to launch forward trading in 17 agri commodities. NCDEX started forward trading late last year and currently more than 20 agri commodities are traded.
Forward contracts allow flexibility in quality and quantity of trade between buyers and sellers.
The regulator has also said that the terms of the contract should not be changed without prior approval from the regulator and also a monthly report needs to be sent to the commission along with a market report. The exchange should also ensure that there is no unhealthy trading practices.
Last month, FMC gave permission to launch forward trading in 17 agri commodities. NCDEX started forward trading late last year and currently more than 20 agri commodities are traded.
Forward contracts allow flexibility in quality and quantity of trade between buyers and sellers.