"We mooted the idea to set up an exchange in June last year. It was delayed due to FMC's new guidelines, which we received recently. We hope to get a formal nod from the regulator by May-end and the exchange will begin in the next year," MMTC Chairman and Managing Director Sanjiv Batra told reporters on the sidelines of the launch of 'Festival of Gold' here.

He said the company would set up the exchange in joint venture with brokerage firm Indiabulls in which it would have a 26 per cent stake.

"We are in talks with foreign players as well and they have shown interest to hold some stake in the exchange," Batra said adding that after FMC gives a nod they would disclose the names for foreign companies.

The company has requested the state government to allot two acres land in Gurgaon to set up the exchange, which is expected to trade in the entire spectrum of commodities, including plantation crops, metals and minerals like gold and silver, he said.

Once approved by FMC, it would be the fourth commodity exchange after the Multi-Commodity Exchange of India, National Commodity & Derivatives Exchange and National Multi-Commodity Exchange of India.

The commodity exchange would be the second such project of MMTC in Haryana as it had already committed an investment of Rs 147 crore for setting up a gold refinery and a medallion manufacturing unit at Mewat in the state, in collaboration with a Swiss company PAMP.