"Having started hedging in the non-ferrous metal at London Metal Exchange (LME), now we are keen to concentrate in the domestic commodity futures trading. Being a biggest importer of non-ferrous metals, the MMTC has started hedging in the nickel futures at LME. A specialised trading desk has been set up at Mumbai. Having tested waters of international futures markets, the corporation has a embarked on a plan to start online futures trading in various agro commodities likesoya, castorseed and gold among others," said BC Mallik.

Mallik who was recently in the city told The Financial Express that the corporation is keen to participate in the soya futures which would go on stream by the next year. On the same line, the superstar trading house is also planning to run a castor crushing plant in Gujarat, for which negotiations with cooperatives and private traders are going on, he added. When asked about the castor trade, he said that company's experience is mixed. The castor markets are highly volatile, said Mallik.

"As the PSU is already running two soya plants in the Madhya Pradesh, having a membership in the proposed soya bourse has a strategic importance. It will provide risk management against cash exposure. It will also help sourcing of seeds more efficiently," feels an analyst. The same holds true in castor trade too, if the corporation is able to strike deals for the castor oil plants, futures trading in this commodity would be a logical step.