Copyright © HT Digital Streams Limit all rights reserved. India is looking at a seat to the Global Commodity Table – With Gift City as its trading center an expert panel that submitted its report in August, the measures recommended GIFT IFSC as a global commodity trading center. (AFP) Summary India’s Financial Center looks at a new border – which has oil, gold and agri -trade from Singapore and Dubai to Gujarat. One of the most important initiatives in the Pipeline for the Gift City regulator is to bring global commodity trading to India – a segment currently dominated by foreign jurisdictions, said K. Rajaraman, chairman of the International Financial Services Centers Authority (IFSCA). “If India is aimed at becoming a manufacturing center, it should also emerge as a strong participant in the global commodity trading market,” Rajaraman said in an interview with currency on the sidelines of the Global Fintech Fest 2025. Expanding the trade basket can be traded at Gift IFSC, including electronic capacity, chips, and also energy products. Ammonia, crude oil and natural gas. High volume of agricultural products such as rice and edible oils can also be part of the mixture, he added. An expert committee that submitted its report in August has studied adult commodity trade jurisdictions and set out recommendations to help position GIFT IFSC as a Global Commodity Trading Hub. According to the report, the rationale is that the absence of a global competitive ecosystem in India has led to many large transactions and financial services led by foreign centers. This not only reduces the influence of India on global commodity prices, but also leads to the loss of valuable economic activity, employment and tax revenue. “Based on these findings, we have submitted recommendations to the government, and some amendments to existing laws may be needed,” Rajaraman said. Legal and tax adjustments Some of the most important proposals include amending the Bank Regulatory Act to make banks in Gift IFSC work to do a greater variety of commodity trading outside Bullion, the expert committee noted. It also recommended to notify commodity trading as a financial service and expand the Tax Holiday for IFSC units from 10 to 25 years – or up to 2047 – along with a concession tax regime for overseas professionals moving to Gift City. Some of the global commodity jurisdictions include Singapore, the UAE, the United Kingdom and Zurich. “Switzerland produces no oil, but it has some of the largest oil deletion centers in Zurich and other places. There is a wonderful opportunity for India to bring back many such activities,” Rajaraman added. Currently, Gold and Silver is available in Gold and Silver at the India International Bullion Exchange (IIBX) in Gift IFSC. Over time, commodity trading is expected to expand to cover a broader basket of products, Rajaraman said. Catch all the business news, market news, news reports and latest news updates on Live Mint. Download the Mint News app to get daily market updates. More Topics #gift City #Markets Read Next Story
Can Gift City India make a global commodity trading player?
