Commexes’ total turnover dips 50% so far this fiscal
27 Nov 2014 10:39 PM GMT
The turnover of commodity exchanges declined by 50 per cent at Rs 37 lakh crore in the April-November period of this year due to sluggish trade volumes in almost all commodities, according to Forward Markets Commission (FMC). These exchanges generated a business of Rs 74.16 lakh crore in the same period of corresponding year, the regulator FMC said in its latest report.
The business fell in bullion, metals, energy and agricultural commodities during the April-November period of 2014-15 fiscal.
The turnover from bullion declined by 60 per cent to Rs 13.14 lakh crore till 15 November of this financial year from Rs 33.15 lakh crore in the year-ago period.
Similarly, the turnover from energy items like crude oil fell by 51 per cent to Rs 8.90 lakh crore from Rs 18.05 lakh crore, while the business from metals like copper dropped by 41 per cent to Rs 7.94 lakh crore from Rs 13.51 lakh crore in the review period. The turnover from agricultural commodities also declined over 25 per cent to Rs 7.05 lakh crore in April-November of this year, against Rs 9.43 lakh crore in the year-ago period.
Experts attributed the fall in trade volumes to poor participation in view of higher transaction cost, especially after the imposition of commodity transaction tax (CTT) from 1 July, 2013. That part, investor sentiments took a beating after Rs 5,600 crore scam surfaced at spot exchange NSEL, they added.
There are four national and six regional-level commodity exchanges operating in the country.
The business fell in bullion, metals, energy and agricultural commodities during the April-November period of 2014-15 fiscal.
The turnover from bullion declined by 60 per cent to Rs 13.14 lakh crore till 15 November of this financial year from Rs 33.15 lakh crore in the year-ago period.
Similarly, the turnover from energy items like crude oil fell by 51 per cent to Rs 8.90 lakh crore from Rs 18.05 lakh crore, while the business from metals like copper dropped by 41 per cent to Rs 7.94 lakh crore from Rs 13.51 lakh crore in the review period. The turnover from agricultural commodities also declined over 25 per cent to Rs 7.05 lakh crore in April-November of this year, against Rs 9.43 lakh crore in the year-ago period.
Experts attributed the fall in trade volumes to poor participation in view of higher transaction cost, especially after the imposition of commodity transaction tax (CTT) from 1 July, 2013. That part, investor sentiments took a beating after Rs 5,600 crore scam surfaced at spot exchange NSEL, they added.
There are four national and six regional-level commodity exchanges operating in the country.
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