NDTV Profit

Commodity bourses' turnover down 60 per cent in first fortnight of December

New Delhi:

Turnover of the commodity exchanges fell 60 per cent to Rs 2.77 lakh crore in the first fortnight of December due to a sharp drop in trading volumes in most commodities.

The business at the bourses stood at Rs 6.88 lakh crore in the corresponding period last year, commodity markets regulator Forward Markets Commission (FMC) said in its latest report.

Analysts are of the view that investors are reluctant to invest in commodity futures trading platform mainly due to a Rs 5,500-crore payment crisis at National Spot Exchange Ltd (NSEL), which is promoted by Jignesh Shah-led Financial Technologies India Ltd (FTIL).

Trading in metals other than bullion during the first fortnight of December went down by 70 per cent to Rs 37,207 crore from Rs 1.23 lakh crore in the same period last year, FMC data showed.

Similarly, the turnover in bullion (gold, silver) fell by 66 per cent to Rs 1.07 lakh crore from Rs 3.22 lakh crore.

Turnover in the energy segment dropped by 57 per cent to Rs 65,215 crore from Rs 1.50 lakh crore in the review period.

Also, the turnover from agri commodities fell by over 27 per cent to Rs 66,966 crore in the first fortnight of this month from Rs 92,060 crore in the year-ago period.

MCX, NCDEX, NMCE, ACE, ICEX and UCX are the six national commodity bourses operating in the country. There are 11 exchanges that offer futures trading in commodities at regional level.

ALSO READ 'Anmol Effect': Anil Ambani Says Son Is Lucky Charm For Company