Date:28/09/2005 URL: http://www.thehindubusinessline.com/2005/09/28/stories/2005092800421200.htm

Back IPSTA to use V-Sat connectivity for trading

G.K. Nair

Kochi , Sept. 27

THE India Pepper and Spice Trade Association (IPSTA) has decided to upgrade its present screen-based trading facility by switching over to V-Sat connectivity.

The association has submitted a proposal to this effect to the Forward Markets Commission (FMC) this week, Mr Kishor Shamji, President of the association, told Business Line on Friday.

The FMC is also in the process of upgrading the commodity-specific exchanges in the country. Mr Shamji said the total investment for upgrading the facility would cost around Rs 40 lakh and the FMC would be providing financial assistance to the tune of Rs 35-40 lakh.

According to him, IPSTA is using the Internet connectivity and in areas where such facility is absent, the traders are currently using the expensive dial-up method. Besides, to certain areas such as Wayanad and Idukki "there is no reach at present", he said. Therefore, V-Sat connectivity was essential for smooth trading activities, he said.

However, the association would have to spend Rs 10 lakh for annual maintenance while each member might have to invest Rs 60,000 to Rs 1 lakh for V-Sat connectivity.

Mr Shamji said the IPSTA's EGM held here had cleared the association's proposal to take membership in the Multi-Commodity Exchange of India (MCX). Accordingly, amendments to the bylaws had been made and sent to FMC.