BSE, Asia’s oldest exchange and now world’s fastest exchange with the speed of 6 microseconds, commenced commodity derivatives trading in turmeric with a lot size of 10 metric tons.
The launch of turmeric futures was done in the Turmeric City of Maharashtra-Sangli. The event witnessed immense support from the turmeric traders of the city.
Ashishkumar Chauhan, MD & CEO, BSE said, “Launch of trading in turmeric contracts is in line with our long-term vision to introduce various Agri/non-Agri commodities contracts on BSE platform. We strongly believe there is a lot of scope for growth in the commodities market and look forward to launching more agri commodities and providing effective risk hedging instruments using the latest technology and risk management framework to all Indian stakeholders.”
The exchange has fixed a trading and delivery of 10 MT. The basic delivery centre for the turmeric contracts is Nizamabad (up to the radius of 100 Km from the municipal limits) with additional delivery centres at Sangli, Erode, and Basmat (up to the radius of 100 Km from the municipal limits) with location wise premium/discount as announced by the Exchange.
BSE has tied up with various agricultural premier associations and warehouse service providers in India for the growth and development of commodity derivatives markets in the agricultural complex. BSE had also entered into a licensing agreement with the London Metal Exchange and associated with Bombay Metal Exchange for base metal contracts, besides tying up with the Rajkot Commodity Exchange, Federation of Indian Spice Stakeholders, Soybean Processors Association of India and Cotton Association of India to launch agri-commodities.