According to market experts, though nine odd brokers were active at Rajkot oilseeds and Bullion Merchant Association, (ROBMA) the volume is increasing because of liberal margin requirements and availability of kerb trading, both of which are not available at ACE. Heavy margins at ACE have marginalized small players, who are switching over to Rajkot and other parallel markets like Bhabhar and Bucket shops known as Dabba.

At present daily volumes and outstanding positions are around 10,000 tonne and 25,000 tonnes respectively, down from the 1996's peak of 30,000 and 100,000 tonnes. The daily volume at Rajkot is around 5,000 tonnes, said a trader while official figures are just not available.

``Atpresent the outstanding position of 4,000 tonnes in the ACE, attracts a higher margin of Rs 13.5 lakhs from the earlier Rs 10 lakh level.``Margin at Rajkot is much lower,'' said a leading broker.

ROBMA, was set up in the fifties, but dormant till 1990's due to ban on the futures trading. It recived FMC's nod in the 1990s on futures trading of castorseed. Small traders are refrain from the trading thanks to higher volatility. Uncertain trends kept big speculators away. Volumes are slowly increasing from earlier level.

It is interesting to note that earlier Bombay Oilseeds and Oil Exchange-BOOE was a leading bourse but later on ACE grabbed the show due to liberal trading conditions and liquidity. In 1996 the daily volumes at ACE were as high as 70,000 tonnes compared with the current levels of 15,000 tonnes.According to traders a few players, members of both the exchanges take positions as an arbitrage, known as badla trading. Kerb trading at the bourse begins as early as 11 pm, which is an additionalattraction to speculating at Rajkot, said a leading broker.

While there is much brohaha to kick off futures trading in more commodities, there is nothing done to improve the current state of futures. Trading volume in the `new' futures remained low, be it cotton, castor oil or international pepper.