Sebi may consider proposal to allow foreign entities in commodity mkts

With an aim to deepen the commodity derivatives market, regulator Sebi is likely to consider a proposal to allow trading in this segment by foreign entities with exposure to the Indian physical commodity market.

Besides, the regulator may deliberate on the issue of introducing a common application form for foreign portfolio investors (FPIs) to enter into the domestic capital market as part of the exercise to improve ease of doing business.

Further, it is likely to discuss on the procedure of transmission of securities in physical mode, officials said.

The board of Securities and Exchange Board of India (Sebi) may discuss these issues in its meeting scheduled next week, they added.

With regard to the commodity derivatives markets, foreign entities may be allowed to hedge their exposures with derivatives trading in all commodities traded on Indian exchanges, barring the sensitive commodities