Guarseed and guargum now features on BSE; lot size set to 10 metric tonnes

Leading stock exchange BSE Wednesday said it has started commodity derivatives trading in guarseed and guargum. Trading in these commodities has been started with a lot size of 10 metric tonnes, BSE said in a statement.

Recently, the bourse had tied up with various agricultural premier associations and warehouse service providers in India for the growth and development of the commodity derivatives markets in the agricultural complex. BSE tied up with the Rajkot Commodity Exchange, Federation of Indian Spice Stakeholders, Soybean Processors Association of India and Cotton Association of India to launch agricultural commodities, the release noted.

"India’s commodity market is in its nascent stage and we believe there is a lot of scope for growth, which can happen by diversifying into new commodities to provide effective risk hedging instruments using the latest technology and risk management framework to all Indian stakeholders," MD and CEO of BSE Ashishkumar Chauhan said. The commodity derivatives segment was launched on the BSE in October 2018.

(With inputs from agencies.)