Apples, freight, and weather, coming soon to a derivatives contract near you

MUMBAI : Apples, cashews or the weather? You may soon be able to trade on the prices of these and several more on an exchange platform, with the finance ministry expanding the list of commodity derivatives that can be offered on national stock exchanges. The finance ministry has notified 13 new commodities for derivatives trading, including manganese, freight (road, shipping and airways), weather, cement, bitumen, apple, cashew, garlic, skimmed milk powder, white butter, timber, bamboo and palladium. The move aims to provide a more diversified price risk management mechanism to Indian companies and other participants. Recognized national stock exchanges such…