Trading associations in India seek ban on turmeric futures

Marathwada Vidarbha Turmeric Trade Association has written a letter to the Union minister of state for finance Pankaj Choudhary, demanding a ban on trading in turmeric futures market on the NCDEX and BSE. The association alleged that some traders and corporates are making a profit. The prices are being decided according to the convenience in the futures price, it said, and the farmers of Maharashtra are facing a lot of loss. “Some handful of traders and companies store around 2/3 of total turmeric produced in India in the forward market warehouse and then they determine the rate of 97% of production,” the industry body, one of the largest associations of turmeric traders, said in the letter. Around 60% of the production comes to the market after March, and the trading for April begins in the November of the previous year. However, very few farmers determine the rate at the time, said the letter. The letter also alleged that the agricultural commodity exchanges have “no farmers” ...