Market regulator Sebi Thursday came out with draft norms that seek to allow options trading in commodity bourses as part of efforts to deepen the nascent commodity derivatives market.To enable trading instruments relating to commodity derivatives, including options, Sebi has proposed to amend the definition of 'commodity derivatives exchange' and 'national commodity derivatives exchange' and also provisions applicable to such exchanges in the Securities Contracts Regulation.

Source - http://www.business-standard.com