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FCRA Bill may not be passed in the current session of Parliament: Thomas

02 May 2012 Evaluate

It is unlikely that the proposed Forward Contract Regulation Act (FCRA) Amendment Bill, 2010 will be passed in the current session of Parliament, as per the Food and Consumer Affairs Minister, K.V. Thomas.

This is because the bill has been referred to the Law Ministry for vetting. When the Law Ministry finishes inspecting the bill, it will have to be cleared by the Cabinet before placing it before Parliament for consideration and passing.

The FCRA Bill is essential for the development of the commodities futures market as it strengthens the regulator FMC by arming it with financial autonomy. It also facilitates the entry of institutional investors and introduction of new products for trading such as options and indices.