Guar gum futures will be relisted soon, says FMC

India’s commodity regulator the Forward Markets Commission has said it plans to reintroduce guar gum onto the futures market soon.

Following its Advisory Committee meeting on October 16 a recommendation to lift the ban on guar gum and guar seed trading on the futures market was made.

The FMC initially banned futures trading in guar gum and guar seed back in March to curb volatility and speculation.

At a press conference in Mumbai Ramesh Abhishek, chairman of the FMC, told the media that the regulator will consult with a few government agencies before making its final decision.

No time frame was given but it was acknowledged that a lift should happen soon as the arrivals season is approaching.

One hydrocolloid expert said that a lift would do little to change market conditions. (See HERE)