The share of futures in the total turnover was 74 per cent a year ago and 60 per cent two years ago.
A trader is required to pay upfront margins of 15 per cent of the market value of index futures, about 25 per cent of the market values of stocks futures, around 8-10 per cent of agro commodity futures and up to six per cent of non-agro commodities.
The turnover of the commodity and stocks (including index futures) futures rose 58.8 per cent in 2006-07, crossing the Rs 100 trillion mark at Rs 110.53 trillion.
The commodity futures outperformed the stocks and index futures by posting 70 per cent growth in turnover. The turnover of stocks and index futures rose 53.7 per cent.
The three major commodity exchanges had a combined turnover of Rs 36.37 trillion (Rs 36,37,009 crore) during the financial year.
This was attributed to introduction of international commodities such as Brent Crude, natural gas and gold by the MCX. The turnover of these commodities rose 164 per cent, and their share in the total turnover increased from 47.6 per cent in 2005-06 to 66 per cent in 2006-07.
On the stock markets, the BSE and the NSE clocked a total turnover of Rs 74,15,257 crore due to introduction of 49 new stocks futures during the year.
The commodity futures market has been growing at a higher pace with its share in the total pie increasing from around two per cent in 2004-05 to 30.7 per cent in 2005-06 and 32.9 per cent in 2006-07.
The pace of growth of commodity futures would have been much more, if the government had not banned futures trading in the price-sensitive agro commodities like urad, moong, tur and wheat in the second half of 2006-07. The ban halted its pace of growth from 126.4 per cent in the first half of 2006-07 to 32.7 per cent in second half of 2006-07.
Among the five major exchanges that allow futures trading, the National Stock Exchange accounts for 66.6 per cent, the Multi Commodity Exchange (MCX) 20 per cent and the National Commodities and Derivatives Exchange (NCDEX) 10.5 per cent. The BSE has a minuscule 0.50 per cent share, while the NMCE accounts for the remaining 2 per cent.
