FORWARD MARKETS COMMISSION

GOVERNMENT OF INDIA

MUMBAI

 

CITIZEN’S CHARTER

 

1. Functions of the Commission.

 

The Forward Markets Commission is a regulatory body for commodity markets in India. The forward contracts in commodities are regulated as per F.C.( R ) Act, 1952 by this body. Inherent objective is to achieve price stability by means of price discovery and risk management. The Commission also collects information regarding the trading conditions in respect of goods to which any of provisions of Act is made applicable. It also advises Central Government regarding recognition of associations.

 

2. Services offered

 

No direct service are offered to public at large, the trading is through members of recognised/registered Associations.

Commission has a function of regulating commodity markets under the F.C.(R) Act, 1952. For the benefit of public including trading community we have prepared a website, which includes information regarding daily prices, volume of trading, etc. at different exchanges in different commodities. Commission also performs function of regulation of associations and grant of trade permission to them. Commission passes information to police regarding illegal trade.

 

3. The following are services/functions, time limit for fulfilling the functions.

 

 

Time limit for various items

Functions/Activity

Requirements

Time limit

  1. Recognition/Registration of Commodity Exchanges
  2. a)Grant of recognition/ Registration to Associations desiring to have futures trade.

     

     

    Step 1 Preliminary examination of the request

    Step 2 Completion of discussions and presentation by applicant

    Step 3 Recommendation to the Govt.of India

     

    b) Renewal of recognition

    Step 1 Preliminary examination of the request

    Step 2 Meeting with the applicant for performance evaluation

    Step 3 Recommendation to the Govt. of India

    c) Approval for amendments to the existing Bye-laws of recognised Exchanges

 

 

 

For Grant of recognition/ registration the Association has to apply in the prescribed form ‘A’ along with recognition fee of Rs.2500/-/ registration fee Rs.50/-

 

 

 

 

 

 

 

 

 

 

Renewal

Association should apply in form ‘A’ in triplicate with a fee amounting to Rs.1000/-

 

 

 

 

 

 

The Association has to send the draft of Bye-laws supported by Resolution of the Board

 

 

 

 

 

 

 

 

Within 10 days

Within next 15 days

Not later than next 15 days

Total 40 days

-do-

 

 

 

 

 

 

 

15 days

  • (1) Permission for trading in new commodities.
  • Finalization of FMC’s views and recommending to the Govt. of India

     

    2) Permission for trading in existing commodities.

    The Association has to apply alongwith feasibility study, infrastructure available with them as per guideline of the Commission. The request should be accompanied by Board resolution

    Association should apply along with Board resolution

    45 days

     

     

     

     

     

    15 days

  • Registration of membership in international Exchanges.
  •  

    15 days

    D. Action on complaints regarding illegal trade.

    Exchange/any person should send their complaints of illegal forward trading giving full details

    2 weeks

    E. Redressal of grievances received from members of recognised/registered Exchanges

     

     

    15 days

     

     

     

    3. All commitments contained in this Charter are in the nature of promise and not justicable. These will be fulfilled by the concerned section of the Commission with the co-operation of Association/persons desiring to take benefit of these.

     

    4. Feedback will be from the Exchanges and media as the Commission does not have field officers. The charter will be reviewed every six months by the Commission and deficiency if any will be rectified.

     

    5. Staff of Forward Markets Commission located with Headquarters in Mumbai and small regional office at Kolkata, will work hard to achieve the time limit set up in the chart.

    6. All efforts will be made to comply with the above commitments. If things go wrong contact:-

    Shri D.S.Kolamkar,

    Director

    Forward Markets Commission,

    3rd Floor, Everest, 100,Marine Drive, MUMBAI-400002

    Tel: 281 7001, 2811262 Fax No.2812086

    E-mail: fmc@bom.5.vsnl.net.in

    7. For better service and achieving the time limit set the association are requested to co-operate and apply with supporting documents and filling all the relevant information in the form with proper fee.

    Detailed information available on-line – www.fmc.gov.in

     

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