(a) whether the Government have given its approval to the Gujarat-based constorium
led by Neptune Overseas to set up a multi-commodity exchange;
(b) if so, the details thereof;
(c) the main functions of the exchange; and
(d) the extent to which it will be helpful?
THE MINISTER OF STATE IN THE MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION (SHRI V. SREENIVASA PRASAD)
(a) : Yes, Sir.
(b) to (d): The Government have granted in-principle approval to the Commodity
Exchange of India Ltd., (proposed name) Ahmedabad, for setting up of a modern,
electronic, automated commodity Exchange to effectively and efficiently meet the
risk mangement requirements of diverse functionaries for futures trading in various
oilseeds like castorseed, rapeseed/mustardseed, groundnut, sunflowerseed, cottonseed,
sesameseed, copra/coconut, safflowerseed, their oils and oilcakes. The in-principle
approval was given on 25th July, 2001 subject to the condition that the Exchange be
made operational within 10 months. The promoters are in the process of completing the
formalities and setting up necessary infrastructure. It is expected to provide
efficient, competitive price signals and price risk management mechanism to the various
participants in the commodities permitted for futures trading in the Exchange.