Since the ordinance empowering the Forward Markets Commission (FMC) lapsed on April 7, the commodity market regulator is hoping that the Forward Contract (Regulation) Amendment Bill is considered in the next session of Parliament. | |
| "The Bill is very much with the Parliament and a slight technical modification is required for reproduction," said FMC Chairman B C Khatua. |
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| Generally, an ordinance lapses if Parliament does not pass it within the stipulated 6 weeks from the commencement of the next session. April 6 was the last day for the ordinance to be passed. |
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| The Union Cabinet, in January this year, decided to issue an ordinance to give autonomy to the FMC which was seen as a move that would help build the confidence of investors "" be it mutual funds, financial institutions or small traders. |
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| Meanwhile, the regulator has been preparing draft regulations for various areas of commodity trading, including warehousing, delivery and broking. |
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| "Despite limited powers, we are able to achieve fair amount of convergence. At present, the market is behaving in a very coherent manner and futures prices are moving in line with spot market prices," Khatua said. |
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