FMC to unveil new norms for Comex

Hyderabad, Jan 22 | Updated: Jan 23 2007, 05:30am hrs
The Forward Market Commission (FMC) is all set to announce the shareholding pattern guidelines for the Commodities Exchanges (Comex) enabling it to have access to the foreign funds.

Revealing this to the media here on Monday, Anupam Mishra, director, FMC said, We expecting to announce shortly the guidelines for the shareholding patterns for the Commodities Exchanges including foreign investment. The norms will be released hopefully during the current fiscal, he added.

FMC had put on hold all the investment (including FDI) proposals till the new norms are declared.

Mishra said that the new guidelines will clearly fix the foreign investment component in the equity of the Commodity Exchanges and also the maximum exposure for each of the foreign financial institutions and funds.

Following the FDI open for securities exchanges, even the commodities exchanges are also preparing plans for foreign investment. Besides some of the existing investors in the Commodities Exchanges are seriously scouting for divestment opportunities.

Further, the Commission also plans to expand the product basket of the 21 regional commodity exchanges. It has already called for expression of interest from these regional exchanges.

We are receiving requests from these exchanges and the decision will be taken after taking their trading capabilities, Mishra said. As of now, these exchanges are undertaking trading activities on local focused commodities.