FMC to display prices in market yards

The Forward Markets Commission (FMC), country's commodity futures regulator, intends to put up electronic boards that display spot and future prices of various agricultural commodities in the market yards of 2,500 Agricultural Produce Marketing Committees (APMCs) in the next couple of years.

FMC chairman, BC Khatua, said the commission would eventually put up such display boards in all the 7,500 APMC market yards in the country for the benefit of farmers. It has chosen to cover 2,500 market yards in the first phase as they already have computer facilities.

Khatua said that IIM-Bangalore, appointed to study the impact of futures contracts on prices, had submitted the final report four days ago.

"We are currently studying the report," he said declining to reveal its contents. The interim report of the institute observed that there was no correlation between inflation and futures trading.

According to Khatua, FMC is hopeful of resuming futures trading on tur, urad, wheat and rice. Futures contracts on the four commodities have been banned by the government to control inflation. In this regard, "we are waiting for the Sen Committee report to be submitted," he said.

The government had appointed a committee under the chairmanship of Abhijit Sen, member, Planning Commission, in March this year to study the impact of futures trading on prices. The report will be submitted any time now.

FMC, in association with the University of Hyderabad, held a workshop on commodity futures market in India here on Saturday.