Commodities price agencies propose rules The world's main price reporting agencies in commodities have proposed a self-regulating code of conduct as regulators push for more transparency. The publication of the draft code comes as several market participants have asked the International Organization of Securities Commissions, an umbrella group of regulators, to push for more transparency and, in some cases, impose oversight. The indices published by price reporting agencies such as Platts, a unit of New York-based McGraw-Hill, and privately owned Argus Media help price deals from crude oil in Singapore to gasoline in northwest Europe. They have expanded their activities to other commodities, such as metals and minerals. Platts, Argus Media and ICIS said yesterday they were seeking feedback from market participants by July about a "price reporting code for independent price reporting organisations" and defended self-regulation. In March, Iosco launched a consultation document that focused on the physical commodity markets, following years of focus on derivatives markets. It said some oil market participants had complained of the "quasi-regulatory role" played by price reporting agencies. The consultation comes in response to a request from the Group of 20 nations in November to prepare recommendations on price reporting agencies. The G20 is likely to address the issue at its ministerial meeting in Mexico scheduled for June. The Global Financial Markets Association, an organisation representing some of the world's leading financial and capital market companies, told Iosco that although reporting agencies were providing "an essential price discovery function for global oil markets" they did not have "independent governance standards or oversight in respect of that function." Adrian Binks, chairman of London-based Argus Media, said the sector did not need external oversight, comparing the work of price reporting agencies to media groups: "We are press and I don't think external regulators should interfere with the press." Larry Neal, president of Platts, said there was no single regulator for physical markets, which were "truly global in nature," and that the price reporting agencies were taking a "pro-active" step in improving the transparency of the sector. The companies said the proposed code of conduct would change little of their day-to-day activity but said that for the first time each price reporting agency would publish an attestation of compliance with the rules every year In addition, each company would "engage an internationally recognised external audit firm of its choosing or independent internal audit group, to conduct an independent review of its compliance" with the code of conduct.