Sources said the idea was at a premature stage and a concrete proposal could be made only after considering the pros and cons of the issue. The board, after getting experts' opinion and feedback from its resource persons will approach the commerce ministry and the Forward Markets Commission for the official nod.

Unlike other commodities, futures trade was never practised in the caseof natural rubber. Rather, rubber prices were under a regulated regime till recently and the implication of futures trade had to be assessed in consultations with the experts in the field, sources pointed out.

In the board's view, introduction of futures trade can ensure long-term price stability. Further, forward contracts are considered a second best solution for ensuring remunerative prices for growers, a reasonable margin for traders and assured supply at optimum prices to buyers.

India, which till recently was a net importer of the commodity, has miserably failed to export natural rubber in a bid to cushion the slump in rubber prices. Despite announcements, the exports remained negligible compared to the accumulated stock in the market during the last fiscal and the first quarter of the current.

The export promotion strategy involves providing all related information and aid for those traders interested in exports, including information on demand from various countries. The Rubber Board is alsoplanning aggressive marketing campaigns in major consuming countries to make Indian rubber acceptable to major buyers. The stumbling block that hit the Indian plans to export natural rubber was lack of information about Indian commodity and its new entrant status.