The RDPU of Committee II discussed the Commodity Futures Trading

The RDPU of Committee II with Ir. Arifin Lumban Gaol (Commodity Specialists) discussed the Bill on the Commodity Futures Trading (PBK), the introduction and the opening of the meeting were done by the Chairman of Committee II DPD RI, Ir.H. Bambang Susilo, MM, then the meeting was hosted by Chairman of the Working Team of Bill on Commodity Futures Trading, Litha Brent (DPD RI Senator from South Sulawesi) at Committee II meeting room on the 3rd floor, Building B DPD RI, Senayan, Jakarta, Monday (31/01/2011).

Commodity Futures Exchange, Inc. (BBJ) that was established in 1999 has not been succeeded in carrying out futures transactions, the exchange members were 107 PSH members including 72 PSH Brokers that generally transact at the product of SPA (Alternative Trading System), BBJ contract volume has been decreasing since the SPA was legalized. SPA is a high risk business, not suitable for “unsophisticated and un-proffesional investors” and many public complaints as well as money laundring.

Ir.Arifin Lumban Gaol, the commodities expert who was also former Chairman of BAPPEBTI, stated that “Indonesia should have a future exchange” he said, then Lumban explained that because of the existence of the Futures Exchange is very strategic in the effort to manage price risks, which it will support national economic stabilization efforts, improve competitiveness, provide business certainty also reduce poverty and improve welfare.

Interested in SPA, H. Gusti Farid Hasan Aman, SE.Akt, MBA (DPD RI Senator from South Kalimantan) asked “does the SPA similar to the Option, meaning is there any derivatives?” asked Gusti Farid. Answering Gusti’s questions, Lumban explained that “SPA is different with the Option, this option also exists for deposits, so actually, if there is the Forex, there is the Future, there is Swap, there is Bond. Option is more sophisticated than the Future, but this option can only operate if it the Future runs “said Lumban.

The RDPU of Committee II DPD RI concluded that there must be SPA separation from the Bill and SPA is regulated in separate laws because magnitudes of SPA trade is different with commodity futures trading, the SPA will be undermined it’s commodity futures trading. So that the government becomes “primary drivers” in the development of PBK for economic function manifested as a hedging tool and the formation of prices. Central and Local Government help and encourage education and training programs (training) and promotion of BPK, in order to improve the ability of farmers / farmer capacity building and the Commercialization of farmers (farmer association) and also a need to made Master Plan of PBK development which the drafting is conducted by trained professionals.

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