SEBI Proposes New Rules to Boost Agri Derivative Liquidity
SEBI proposed cash-settled agri contracts and higher position limits to boost liquidity. The pilot includes maize and chilli to ease trading for participants.
Xurve View
Xurve View
The Securities and Exchange Board of India proposed easing position limits for agricultural derivatives to improve market liquidity. Current limits for widely traded commodities are 0.5% and 1% across two separate categories, while those impacting inflation directly stand at 0.25%, with SEBI proposing to raise them to 0.5%. These reforms aim to attract institutional investors by reducing the friction of physical delivery requirements in the commodities market.










