Commodity hedging abroad permits resident persons, companies and SEZ units to manage commodity price risk under prescribed conditions. Commodity hedging in overseas commodity exchanges or markets may be permitted to persons resident in India for managing commodity price risk, subject to ... Summary
Commodity hedging abroad permits resident persons, companies and SEZ units to manage commodity price risk under prescribed conditions.
Commodity hedging in overseas commodity exchanges or markets may be permitted to persons resident in India for managing commodity price risk, subject to the prescribed application procedure and regulatory conditions. Authorised dealer banks may permit resident companies to enter such contracts under conditions stipulated from time to time. SEZ units may hedge export or import commodity price risk overseas only on a stand-alone basis, remaining isolated from financial contracts with parent or subsidiary entities concerning those transactions.
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