Oil trading
network starts in June
Bombay oil seeds and
oil exchange is going to begin future trading which will deal with 3 items, viz., and
groundnut oil palmolein and sunflower oil. The trading network will be expanded latter to
include other commodities.
It is reported that in
the recent past, the country has grown to become one of the major vegetable oil importers
due to a decline in oilseeds production and a steady fall in international prices.
Marketmen see a big opportunity for futures trading with a steady rise in imports.
India imported 40 lakh
tonnes of edible oil in '98-99 (November-October) against 27 lakh tonnes in the
corresponding previous year. During the current year, import is likely to cross even last
year's figure.
There is 20 % lower
output this year due to drought in several oilseeds producing states in the country.
Refined, bleached and deodorised (RBD) palmolein accounts for the bulk of India's imports
besides soft oils, including Soya and sunflower, RBD palmolein is mostly shipped from
Malaysia, the world's leading exporter. It may be mentioned the govt. decided to allow
futures trading in either edible oilseeds and their derivatives a year ago.
The Indore-based Soya
Futures Exchange has already received the Centre's permission to trade in rapeseed oil,
mustard oil and oilcake. |
