best-commodity-broker-in-india

Are you looking for the best commodity broker in India? This article will walk you through the ten best commodity brokers in India. I will explain the pricing, features, and pros and cons of each one of the brokers. By the end of the post, you should be able to find the best commodity broker in India for your commodity trading requirements.

What is Commodity Trading?

Commodity Trading involves buying and selling in the commodity segment, which includes various categories such as metal, agriculture, and energy. In India, MCX and NCDEX are the two major commodity exchanges. 

You can choose between spot and derivative markets to trade in the commodity segment. Crude Oil, Gold, and Silver are the most popular financial instruments in the commodity market. Recently, the market has introduced Gold Mini Options to encourage more traders to trade in the commodity market.

The best part is that the Commodity market opens at 9:00 am and closes at 11:30 pm. Hence, it has a place for people from all fields of work. 

10 Best Commodity Brokers in India 

Upstox

best-commodity-broker-in-india

Upstox was launched in 2009 and is the favorite trading platform for many commodity traders in India. Upstox has many advanced features which makes it the best commodity broker in India . The trading platform has robust trading applications across the Web and mobile devices. 

Upstox charges ₹150 for account opening, but it has no AMC. Upstox charges ₹20 or 0.05% (whichever is lower) per order on the Commodity segment. It's worth mentioning that Upstox offers free ready-made options strategies. You will find it helpful if you are into commodity options. 

The trading platform has the best customer support team in the industry. The team does a commendable job of assisting users responsively and responsibly through its live chat, phone, and email support.

Angel One

best-commodity-broker-in-india

Angel One has been there since 1996 and is one of the leading Commodity brokers. You can open an account with Angel One for absolutely zero charges. However, the platform charges an AMC of ₹240, which is still minimal compared to other brokers. Regarding the brokerage charges, Angel One charges a flat ₹20 for the Commodity segment.

Angel One offers a clean and intuitive interface if we consider the trading interface. It holds true for all the Angel One web and mobile applications. Further, the Angel One applications are advanced and come with advanced charting tools and multiple order types. It's also worth mentioning that Angel One is among those brokers with excellent research and analysis data. 

Commodity traders can capitalize a lot from using this trading platform. Most importantly, Angel One is a highly reliable platform with no major issues, and order execution is always fast.

Zerodha

best-commodity-broker-in-india

Zerodha is a trading platform that has revolutionized online trading in India and has played a massive role in making trading popular in India. Many experts consider Zerodha as the best commodity broker in India for its exceptional reliability and user-friendliness. You can open an account for Commodity trading for ₹300. Besides, the platform charges an AMC of ₹300. Regarding brokerage, Zerodha charges a brokerage fee of Flat ₹ 20 or 0.03% (whichever is lower) per executed order on Commodity trades. 

Next, it's time to look into the Zerodha trading applications. Zerodha's trading application, Kite, is available as a Web app and a mobile app. The application works equally well on all device platforms. Kite comes with advanced charting tools and multiple order types like GTT. Further, the application has a super clean interface. Even if you are a beginner, you should get the hang of it in 10 minutes. 

It's always important to mention that Zerodha has been exceptionally reliable since its inception. You can always expect a fast order execution. Zerodha also has an excellent customer support team to assist users through ticketing and phone. 

ICICI Direct

best-commodity-broker-in-india

ICICI Direct is another popular discount broker in India, following a 3-in-1 account model. ICICI Direct offers a wide range of financial products for investment and trading. The platform allows you to trade in the commodity segment as well. The platform allows you to open an account for zero charges. Besides, it charges an AMC of ₹700.

Brokerage charges for commodity trading in ICICI Direct is ₹20 per trade. Besides, the platform has plans for lowering brokerage charges. ICICI Direct has applications across the Web and mobile devices. Besides, it has an installable dedicated desktop application. However, it's important to mention that the mobile app needs improvement. 

5paisa

best-commodity-broker-in-india

5paisa was launched in 2016, and some traders thing it is the best commodity broker in India since it took discount broking to the next level through its Flat fee model and Supersaver packs. You can open an account with 5paisa for zero charges. However, 5paisa charges an AMC of ₹300.

5paisa is an ideal platform for commodity trading, and it charges a flat ₹20 per executed trade for commodity trades. 5paisa has reliable and fast trading applications across all device platforms, including Web, mobile, and desktop.

Sharekhan

best-commodity-broker-in-india

Launched in 2000, Sharekhan is the oldest online trading platform in India. Sharekhan doesn't charge any fee for account opening and doesn't charge any AMC for the first year. The platform charges an AMC of ₹400 from the following year onward. 

Sharekhan offers different financial instruments and segments for trading and investment. The platform also supports commodity trading and charges a brokerage of 0.10% on commodity trading. However, you can reduce the brokerage charges by choosing a prepaid plan.

Sharekhan has reliable trading applications, advanced charting tools, and various device order types. Further, the platform offers an excellent market overview and research data.

HDFC Securities

best-commodity-broker-india-hdfc-securities

Another solid trading platform is HDFC Securities, a subsidiary of HDFC Bank. HDFC Securities follow a 3-in-1 model, making deposits and withdrawals exceptionally simple for users. You can trade in the commodity segment on the HDFC Securities platform.

HDFC Securities has comparatively higher charges than other brokers. The platform charges ₹999 for account opening and an AMC of ₹750. Regarding brokerage charges, the platform charges 0.020% or min ₹20 per order for non-square-off and square-off trades and ₹100 per lot on Commodity Options.

HDFC Securities has suitable trading applications across the Web and mobile platforms. Further, the platform has excellent charting tools and multiple order types. Besides having extremely reliable trading applications, HDFC Securities also have the best real-time customer support through live chat.

Kotak Securities

best-commodity-broker-in-india

Kotak Securities is a subsidiary of Kotak Mahindra Bank and one of India's most popular discount brokers. The trading platform offers a wide range of financial products for trading and investment. Kokak Securities is also a reliable platform for commodity trading. While account opening is free, the platform charges an AMC of ₹600.

The platform charges a brokerage fee of ₹20 per trade on Commodity Futures and Options. Kotak Securities has robust trading applications with advanced features across all devices. Most importantly, the platform has never had any major technical issues. Further, Kotak Securities offers decent customer support. Kotak Securities is undoubtedly the best commodity broker in India for many traders.

Motilal Oswal

best-commodity-broker-in-india

Motilal Oswal has been in the business for over 25 years and is a reputed trading platform in India. Motilal Oswal Account opening with Motilal Oswal allows you to trade in Equity, Commodity, Currency, and Derivatives. Account opening with Motilal Oswal is free; however, it charges an AMC of ₹199. 

The platform charges 0.02% on Commodity Futures and ₹200 per lot on Commodity Options. The discount broker has highly usable Web, mobile, and desktop trading applications. Further, the company is known for its research and analysis service and has an excellent customer support team to assist users. That's why many traders consider Motilal Oswal as the best commodity broker in India.

Religare Broking

best-commodity-broker-in-india

Religare Broking has been there since 1986; these days, it follows a discount broking model. The broker allows users to invest and trade in Equity, Mutual Funds, IPO, Derivatives, Commodity, and Currency. You can open an account with Religare Broking for ₹500. Besides, the platform charges an AMC of ₹400. 

The brokerage charges on Commodity trading in Religare Broking are 0.05% on Commodity Futures and ₹30 per lot for Commodity Options. Religare Broking provides its users with the Dynami Mobile app for mobile trading. Laptop or PC users may use their website to trade.

Religare Broking is one of those brokers looked up to for their research and analysis data. Further, Religare Broking has a dedicated customer support team to help users with their technical issues.

Compare and Choose the Best Commodity Broker in India

The Commodity market stores a lot of opportunities for traders, and even if you are trading Equity or Derivatives, you can still try the Commodity market. Almost all discount brokers these days support the Commodity segment. 

The segment is becoming popular because it offers flexible timing since the market remains open until 11:30 pm. However, commodity market still lacks liquidity and hence, you need to ensure there is good liquidity in the market before entering a position. In this best commodity broker in India review, I have walked you through some of the best commodity brokers in India. However, I leave it up to you to compare them and find the best commodity broker in India for your requirements. 

You may also like to read: Best Discount Brokers in India

Best Commodity Broker in India FAQs

What role do forex brokers play in commodity trading?

Forex brokers enable currency exchange, a crucial aspect of international commodity trading. For example, if the price of dollar index declines, commodity market in India will get bullish, and viceversa.

How can a commodity trading broker assist in investment strategies?

A commodity trading broker provides expert guidance in choosing the right commodities and executing trading strategies effectively.

Are mutual funds a suitable investment option in the commodities market?

While mutual funds are commonly associated with stocks, some also focus on commodity investments to diversify portfolios.

What distinguishes a reliable stock broker in commodity trading?

A trustworthy stock broker ensures seamless execution of commodity trades and provides valuable market insights.

How do commodity contracts work in trading?

Commodity contracts are agreements to buy or sell commodities at a predetermined price, serving as a foundation for trading activities.

What attributes define the best broker for commodity trading?

The best broker offers low brokerage fees, a user-friendly trading platform, and expert support for successful commodity trading.

How important is having a trading account for commodities?

A trading account provides access to various commodities markets and facilitates the buying and selling of commodities.

What is the role of a multi commodity exchange in India?

Multi commodity exchanges serve as platforms for trading a diverse range of commodities, promoting efficient price discovery.

How does a commodity exchange contribute to the trading ecosystem?

Commodity exchanges provide a regulated marketplace for buyers and sellers to engage in transparent trading of various commodities.

How can commodity investment enhance a diversified portfolio?

Including commodities in your investment portfolio can help reduce risk and improve overall portfolio performance.

Leave a Reply

Your email address will not be published. Required fields are marked *