Commodity hedging permissions allow domestic refiners to hedge purchases and anticipated imports subject to compliance and authorised bank oversight. Permits domestic crude oil refiners to hedge price risk on domestic crude purchases and product sales via underlying contracts linked to international exchanges, and to hedge anticipated imports up to prescribed volume limits based on past imports; hedges must be routed through Authorised Dealer Category - I banks, regularised by import orders where applicable, and subject to Board approved derivatives policies, explicit OTC approval, mark to market rules, permitted counterparties, half yearly Board reports of OTC transactions, and suitability checks under the Comprehensive Guidelines on Derivatives. Applications beyond delegated authority go to the Reserve Bank.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Commodity hedging permissions allow domestic refiners to hedge purchases and anticipated imports subject to compliance and authorised bank oversight.
Permits domestic crude oil refiners to hedge price risk on domestic crude purchases and product sales via underlying contracts linked to international exchanges, and to hedge anticipated imports up to prescribed volume limits based on past imports; hedges must be routed through Authorised Dealer Category - I banks, regularised by import orders where applicable, and subject to Board approved derivatives policies, explicit OTC approval, mark to market rules, permitted counterparties, half yearly Board reports of OTC transactions, and suitability checks under the Comprehensive Guidelines on Derivatives. Applications beyond delegated authority go to the Reserve Bank.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
Join Channel
TaxTMI 
