This study analyses the Impact of Derivative Commodity Market on Retail Consumer of Rajasthan, India. The commodity market in India has witnessed a phenomenal growth. The futures trading have ecosystem linkages which results in employment generation process. Commodity markets have a crucial role in developing agriculture dominated economies. A review of the institutional and policy constraints facing this market demands more focused and pragmatic approach from government, regulators and exchanges for making it a vibrant segment for agriculture supply chain. Commodity markets have a significant role in the price risk management process especially in case of Rajasthan, India being an agricultural dominated economy. Traditionally agricultural commodities in Rajasthan, India are in the domain of federal states and each states has its own tax and relief package for the commodities. Agricultural marketing has also been in the domain of federal States. In Rajasthan, India agriculture has registered impressive growth over last few decades. It is also the largest consumers having a large population base and hence it should take a leadership role at national and international level.