BOOE : launches edible oil futures trading India has become one of the world’s leading RBD palmolein importers in recent years because of a slump in local oilseeds production, rising demand and depressed international prices. The country imported nearly 4.2m tonnes of edible oil in the ‘99-00 oil season (November-October). This year import is likely to go up further and it is expected to touch 4.5m tonnes, as reported. The Bombay Oilseeds and Oils Exchange (BOOE) has fixed August 18 for launching the futures trading. With the start of futures trading, it will become the first oil exchange in the world to trade in RBD palmolein futures, the BOOE president said. The exchange will also launch futures trading in groundnut oil and sunflower oil on the same day. The ministry of consumer affairs and public distribution had, in a trade notice on August 7, ’00, allowed the exchange to conduct futures trading in these commodities for five years. It is reported that the trading is initially expected to be done through the open outcry system for a few months and then shift to online trading from December ’00. The exchange has tied up with Hyderabad-based Satyam Computers for providing online system. The exchange has also planned management tie-up to expand its trading base. It has signed a memorandum of understanding (MoU) with Solvent Extractors’ Association of India in August ’99. It expects that all leading importers located in Mumbai would operate in the futures market being launched by the exchange, while traders located outside Mumbai would trade as clients of brokers located in Mumbai. |
|