ICEX’s Exit from the Exchange Business

The Indian Commodity Exchange (ICEX) has officially exited the exchange business, with market regulator Sebi withdrawing its recognition through a notification dated December 24. This move follows a drawn-out process that began over two years ago when ICEX’s recognition was first revoked for failing to meet regulatory requirements. The exchange’s exit was greenlit after it fulfilled Sebi’s demands, including compliance reviews, valuation reports, and undertakings. ICEX, headquartered in Surat, Gujarat, made its debut in the commodity trading market in 2009, gaining permanent recognition under the Forward Contracts (Regulation) Act, 1952. After the Forward Markets Commission merged into Sebi in 2015, ICEX transitioned into a recognized exchange under the Securities Contracts (Regulation) Act, 1956. However, by 2022, cracks in its operations became impossible to ignore. ICEX shareholders passed a resolution in May 2023, signaling the end of the road. Sebi then initiated the exit process, which concluded with this final notification.

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