Futures trading in urad and tur is likely to be restored after the monsoon session of the Parliament which is set to pass the much awaited Forward Contracts (Regulation) Amendment (FCRA) Bill 2010, said B C Khatua, chairman, Forward Markets Commission (FMC).
Speaking at a gathering of Commodity Participants Association of India in Delhi on Wednesday, Khatua said the Bill is likely to be passed in the forthcoming monsoon session, as almost all necessary consultation processes were complete. He hinted that with the smooth passage of the Bill in the monsoon session, the FMC would reintroduce futures in urad and tur.
Khatuasaid in 2007 when futures were banned in urad and tur, that respective prices were Rs 23 and Rs 25 a kg respectively and after futures were banned in these two commodities, there prices starting shooting up
FMC chairman strongly advocated that it is a misnomer that futures influence upward price rise and such a misnomer or perceived notion must be burried down.