SEBI Extends Ban on Derivative Trading in 7 Commodities for 1 More Year
Moneylife Digital Team 22 December 2022
Market regulator Securities and Exchange Board of India (SEBI) has extended suspension on commodities derivative trading for seven commodities for one more year.
 
In its directions to stock exchanges, SEBI says, "...the suspension of trading in the (derivative) contracts has been extended for one more year till 20 December 2023."
 
Commodities suspended for trading in derivative contracts are paddy (non-basmati), wheat, chana, mustard seeds and its derivatives (its complex), soya bean and its derivatives (its complex), crude palm oil and moong.
 
Last year in December, the market regulator had banned new contracts in commodity derivatives segments for these seven commodities. (Read: Commodity Derivatives: No New Contract Should Be Launched for 7 Commodities, Says SEBI
 
Derivative contracts for chana and mustard seeds and its derivatives have already been suspended, vide SEBI press release dated 16 August 2021 and 8 October 2021, respectively. (Read: SEBI Issues Directions to NCDEX Regarding Trading in Mustard Seed Contracts)  
 
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