Expert Committee on Integration of Commodity Spot and Derivatives Markets

Pursuant to Union Budget Announcement 2017-18, the Department of Economic Affairs, Ministry of Finance had set up an Expert Committee in June 2017 to study and promote the creation of an operational and legal framework to integrate spot market and derivatives market for commodities trading (Expert Committee). The mandate of the Expert Committee was to examine the legal, technical and operational aspects of the commodity spot and derivatives markets with a view to eliminate the gaps and overlaps that exist between these two markets and recommend requisite measures for achieving the desired integration between the commodity spot and derivatives markets in India.

The Expert Committee consisted of two sub-groups to study agricultural and non-agricultural commodities, respectively. In addition to being part of the sub-group constituted for the study of non-agricultural commodities led by SEBI, three members of the Finance Research Group Dr. Susan Thomas, Anjali Sharma and Diya Uday alongwith Dr. Sudha Narayanan, IGIDR provided policy and research support in drafting the Report of the Sub-group on Agricultural Commodities, led by NABARD.

The Report                                                                                                           FRG-IGIDR
April 2018