Bourses seek FMC's nod to resume wheat futures

National Commodity & Derivatives Exchange, India’s biggest bourse for farm goods, has sought regulator’s approval to resume trading wheat futures after the government scrapped a two-year ban last week.

“We will resume trading as soon as the regulator approves our contracts,” said Unupom Kausik, chief business officer at the exchange. The bourse, known as NCDEX, will offer four contracts in the grain, he said.

India, the world’s second-largest grower of wheat, ended the ban on trading wheat futures on May 15 after record purchases from farmers bolstered state reserves. Output may reach a near record 77.63 million tonnes, second only to that of China, in the year till June, the farm ministry said last week.

The Multi Commodity Exchange of India will submit new contracts for approval to the Forward Markets Commission on Monday, Managing Director Joseph Massey said.