The "commodities" covered by the Act include agricultural products, minerals, and electricity. Transactions on commodity markets, foreign commodity market transactions, and over-the-counter commodity derivatives transactions are "commodity derivatives transactions". Commodity futures trading business is conducted by a person who has received a license from the competent ministers, the Minister of Agriculture, Forestry and Fisheries and the Minister of Economy, Trade and Industry1.

Transactions in designated commodities on the market of a financial instruments exchange are governed by the Financial Instruments and Exchange Act. Even for the same commodity, the applicable law depends on where the transaction takes place.

Notes

  1. "商品先物取引法" (Commodity Derivatives Transaction Act, in Japanese; English translation: Japanese Law Translation), Article 2, paragraph 1 (commodities) and paragraph 15 (commodity derivatives transactions), Article 190, paragraph 1 (license for commodity futures trading business), and Article 354, paragraph 1 (competent ministers). ↩