look news india
Mumbai: The Securities and Exchange Board of India (SEBI) has extended the ban on trading in derivative contracts of seven agricultural commodities till January 31, 2025. Traders expect the ban to be lifted next year, with the ban extended only for forty days.
According to a notification issued by SEBI late on Wednesday night, the ban on futures trading of paddy (non-Basmati), wheat, gram, mustard and its derivatives, soybean and its derivatives, crude palm oil and moong is ending on December 20, 31. Has been extended till January 2025.
Traders are hopeful that the ban on futures trading will be lifted in the new year as it has been extended for a short period. In December, 2021, SEBI had initially suspended futures trading of five agricultural commodities wheat, soybean, crude palm oil, paddy and cassava for one year. Earlier, gram futures for August 17, 2021 and mustard and mustard oil futures for October 8, 2021 were suspended.
Since then, SEBI has continued this trading ban. These restrictions are believed to be part of curbing periodic spikes in commodity prices. Traders claimed that despite the ban, prices of agricultural commodities have hardly fallen, indicating that prices of agricultural commodities are fluctuating in line with the supply-demand situation.