India's Agriculture Minister Sharad Pawar says the government is taking a series of measures to liberalise futures trading in commodities.

Delivering a speech on the agricultural reforms during the Economic Editors Conference in New Delhi on Tuesday, Pawar said in the recent past, a number of initiatives have been taken by the government to liberalize futures trading in commodities in India.

"While the markets have been liberalised by permitting all commodities for futures trading and modern institutional structures are in the process of being evolved, Forward Markets Commission, the market Regulator, set up in 1953, is still functioning in its traditional format," he said.

Pawar said in order to make FMC an independent and more effective Regulator, the amendment to the Forward Contracts (Regulation) Act, 1952 is on the anvil, this would provide features that are in tune with the latest developments in the commodity futures market.

The minister said the main objectives of the proposed amendments are to provide for:

• strengthening & restructuring of the FMC,
• creation of FMC General Fund and conferring power upon FMC to levy fees;
• registration of intermediaries;
• removal of the ban on options;
• enhancement of penal powers of FMC;
• adjudication and investigation by FMC.
• designating Securities Appellate Tribunal as the Appellate Tribunal for the purpose of Forward Contract (Regulation) Act.