Date:30/05/2007 URL: http://www.thehindubusinessline.com/2007/05/30/stories/2007053003861200.htm

Back NCDEX jeera body members withhold resignation

Suresh P. Iyengar

Mumbai May 29 NCDEX has convinced members of the Unjha-based Jeera Product Committee to hold back their resignation for a fortnight before which it has assured to redress their grievance. "We have expressed our grievances to the exchange officials. They have asked for time to discuss with other top exchange officials. So, we have decided to hold back our resignations," said a JPC member.

Quality issues

Top officials of NCDEX and National Collateral Management Services Ltd (NCMSL) on Tuesday met the JPC members over the controversy over quality issues in delivery of jeera.

"NCDEX warehouses prescribe a quality when we go for delivery, but when we want to take delivery we are not able to get the same quality. We have demanded for a second opinion from an independent laboratory when such issues arises," said a member.

"Both sides exchanged views for resolving outstanding issues. It was decided that a meeting of the full Jeera Product Committee would be held in a fortnight," said an NCDEX release.

JPC members demanded that the exchange has to improve its warehouse storage capacity and delivery mechanism. "Taking delivery at NCDEX warehouse is a big pain. If a buyer asks for jeera delivery at Unjha, it is given in Jodhpur. Similarly, there is lot of mix up, which needs to be looked into apart from quality issues," said a member of JPC.

Issues over consideration of substance as foreign particle were also raised. "If some cumin seeds are smaller in size, they consider it as a foreign matter which is unacceptable and needs to be reviewed," he said

"The meeting was to understand issues pertaining to the quality and delivery of Jeera. The Committee (JPC) will consider reviewing position limits and margins and submit the same to the regulator for approval," added the NCDEX release.