NEW DELHI (Reuters) - India’s capital markets regulator is creating three categories for agricultural commodities and will introduce limits that investors can hold for each one to try to reduce price fluctuations.

Commodities will be classed as sensitive, broad or narrow, based on the frequency of government interventions in their markets and overall availability, the Securities and Exchange Board of India (SEBI) said on Tuesday.

The new position limit for sensitive commodities will be 0.25 percent of deliverable supply, SEBI said in a circular.

It will be 0.5 percent for narrow commodities and 1 percent for broad commodities, it added.