Home / Knowledge / News / Textiles / MCX introduces cotton futures contract
MCX introduces cotton futures contract
07
Oct '11
Multi Commodity exchange of India Ltd. (MCX), India's leading commodity exchange, has introduced futures contract in cotton in view of the anticipated bumper cotton harvest this season.

Initially, the exchange is offering three futures trading contracts due for delivery in October, December and January.

Mr. Ramesh Abhishek, Chairman of the Forward Markets Commission (FMC), the commodity markets regulator, said India is a leading producer and exporter of cotton, and hence the futures contract for the commodity would meet the requirements of the entire cotton value chain.

Trading for futures contracts is allowed in multiples of 25 bales of 170 kg each, based on ex-warehouse Rajkot, Gujarat price, exclusive of taxes, with Rajkot being the main delivery centre.

MCX further informed that the delivery of commodity is obligatory for cotton contracts and physical delivery is allowed in multiples of 100 bales. Traders are allowed to trade a maximum of 1,200 bales per contract.

An individual broker is authorised to trade up to 150,000 bales for his clients, while an individual trader is allowed to trade at the most 50,000 bales on the MCX platform, the exchange informed.

India, the second most leading cotton producer across the globe, harvested 33.42 million bales of cotton during the 2010-11 season that ended last month. The country produced 24.02 million cotton bales during the previous season.

Besides MCX, cotton contracts in the country are already being offered by NCDEX and NMCE commodity exchanges.

Headquartered in Mumbai, MCX is a state-of-the-art electronic commodity futures exchange and has permanent recognition from the Government of India to facilitate online trading, and clearing and settlement operations for commodity futures across the country.

Fibre2fashion News Desk - India

Must ReadView All

Apparel/Garments | On 24th Apr 2017

ColDesi launches latest direct to garment printer

ColDesi, a pioneer in the direct to garment printer business, has...

Textiles | On 24th Apr 2017

US’ textile manufacturers applaud Buy American order

US' National Council of Textile Organisations has favoured President...

Courtesy: NASA/JPL-Caltech

Textiles | On 24th Apr 2017

NASA designing advanced woven metal fabrics for space

Scientists at NASA are designing advanced woven metal fabrics for a...

Interviews View All

Cyril Pereira
Reed Exhibitions India, organiser of Asian Machine Tool Exhibition 2016

'Major problem in the textile machinery manufacturing industry is the lack ...

Mukesh Agarwal & Rajesh Agarwal
Madhuram Fincap Pvt Ltd

Increasing prices and lack of demand main issues facing industry

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
April 2017

April 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search