Enhancing the Participation of Farmers and Hedgers in Commodity Futures Markets

By Kavaljit Singh | Blog | July 2, 2014

The participation of farmers in commodity futures markets is extremely limited. According to market estimates, not even 2000 farmers in India are directly participating in the futures markets. Farmers can benefit directly from futures market by entering into futures contracts to sell their produce at a pre-decided price at a future date or indirectly by growing crops based on the expected future price disseminated through the exchange. However, both these benefits have not been passed on to Indian farmers till…