The ahmedabad stock exchange (ase) has finally decided to forge an alliance with the Ahmedabad commodity exchange (ace) for its foray into commodities trading. this is one of the first stock exchanges in the country which has finalised its plans of getting into commodities trading. the ace has been selected because of its local accessibility. the brokers of ase had offered conflicting view for tying up with commodity exchanges when ase was talking to ace and the bombay commodity exchange. those in favour of bombay commodity exchange had argued that it would provide larger and better platform for commodities trading. “we are joining hands with ace because of its local access,” ase president mihir shah told et , when contacted. ase has sought the permission of tata consultancy services (tcs) for upgrading its programme for commodity trading at ase, mr shah said. at present, tcs is providing software services to ase for its on-line trading.”after receiving the tcs approval for upgrading its system, a joint application will be sent to the forward market commission (fmc) for its nod to start commodities trading at ase,” mr shah added.according to mr shah, as per the preliminary understanding between the two exchanges, the ace will provide memberships of its exchange to brokers of the ase. in turn the ase will allow ace’s members to use on-line trading facilities for commodities trading. it may be pointed out the ase carried out an independent survey for commodities trading and the finding shows that the proposed diversification is viable for the exchange. ten commodities including oilseeds, cotton, cottonseeds, castor, fennel, isabgol, rapeseeds have been identified by the exchange for trading. despite this decision to forge an alliance with ace, the ase has not ruled out the possibilities of additional joint ventures with other commodity exchanges. “we may consider the bombay commodity exchange’s proposal, if it provides extra facilities in commodities trading, in addition to ace,” mr shah added.

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