Mumbai: Capital markets regulator the Securities and Exchange Board of India (Sebi), which is now also the regulator of commodity exchanges, is planning to bring warehouse service providers under its regulatory ambit to keep an eye on all aspects of the commodity market, according to two people familiar with Sebi’s thinking.
Currently, commodity exchanges come under Sebi, but the activities related to storage of underlying commodities linked to futures are not under its purview. The existing norms only ensure that warehouses are registered with Warehouse Development and Regulatory Authority (WDRA).