Mumbai: India, the world’s second largest importer of vegetable oils, should lift the ban on futures trading in soya bean oil, rubber, potatoes and chickpeas as scheduled in September because the curbs have failed to ease rising food prices, the commodities market regulator said. “Futures were not responsible for the price rise before the ban and they are not responsible for it after the ban,” Forward Markets Commission chairman B.C. Khatua said. “I don’t see any reason why the ban should be pursued beyond September.”
The ban on futures trading is due to be lifted after 6 September. Farm futures trading was banned in May after rising food prices drove inflation to record levels.
“All the studies and analysis have proved that futures didn’t really contribute to increases in prices of physical commodities,” Khatua said.