Commodity Online
KOCHI : Commodity markets regulator, Forward Markets Commission on Friday said they expect the government to withdraw commodity transactions tax in the next budget.

Speaking to reporters here, FMC chairman B.C Khatua said they prefer a general sales tax instead and said FMC will bring organic agri products trading in near future.

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This will enable commodity markets to grow faster than at present, he added. He said FMC will promote electronic spot exchanges for the benefit of farmers.

Fiscal and other initiatives taken by the government along with the size of the domestic markets have helped to contain the impact and despite the setback Indian economy is set to grow six percent this year, He said.

He added that FMC will open additional delivery centres for gold and silver in Kerala.

Total value of trade in the India’s commodity futures market I n the financial year 2008-09 hit Rs 52.49 lakh crore as against 40.66 lakh crore last fiscal, a growth of 29.09 percent.

This year as on June 15, total value of trade stood RS 12.88 lakh crore as compared with Rs 8.93 lakh crore last year and agricultural commodities accounted for Rs 1.90 lakh crore as against Rs 12.30 lakh crores last time around.

The FMC convened a meeting of the members of the National Exchanges here Friday.