Futures Trading in Agriculture

A study ‘Linking farmers to futures market’ published on 8th August by the Indian Council for Research on International Economic Relations (ICRIER) highlighted the need to link small farmer organizations with futures market. Even the Finance Minister’s budget speech this year announced plans to create 10,000 new farmer producer organisations (FPOs) in the next five years.

Futures Trading

  • Futures exchanges are trading platforms where products are bought and sold for delivery at some agreed-upon date in the future with a price fixed at the time of the deal.
  • There is a considerable time gap between the time of initial investment ....
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