India to start futures trade in suspended commods Dec 4

MUMBAI (Reuters) - Indian commodity markets regulator has approved futures trading in four commodities suspended in May at the exchanges from Thursday, which may boost confidence and volumes.
"We have given permission to the exchanges to restart trading," B.C. Khatua, chairman of Forward Markets Commission, told Reuters on Wednesday.


Officials at National Commodity and Derivatives Exchange Ltd (NCDEX) and Multi Commodity Exchange of India Ltd (MCX) also said they would start trading in the commodities from Thursday.
"We are relaunching the contracts tomorrow," said Unupom Kausik, chief business officer, NCDEX.
In May 2008 India suspended futures trading in soyoil, rubber, potato and chickpea for four months to tame galloping food prices, which was extended till Nov. 30.
Before the ban, the suspended commodities accounted for daily trade worth 10 billion rupees, Kausik said.


"This is definitely a good news and will give positive momentum to the market, going forward," said Harish Galipelli, head of research at Karvy Comtrade Ltd.
India's commodity futures trade is set to grow more than 40 percent to 57 trillion rupees in the year to March 2009, FMC chairman told Reuters in September.
"Pulses importers have signed deals to import about 100,000 tonnes of chana in next three months. Now they can sell the quantity on exchange platform," said K.C. Bhartiya, president of the Pulses Importers' Association of India.