Mumbai: Universal Commodity Exchange (UCX) Friday became the country's sixth commodity exchange to launch futures trading.
UCX is a joint initiative by institutions such as IDBI Bank, IFFCO, NABARD, REC and COMMEX Technology.
UCX, which received the Ministry approval and Government certification on August 30, 2012, has launched 11 contacts in nine commodities which includes future contracts in gold (gold kilo & gold nano), silver (silver 30 & silver nano), crude oil, chana, rubber, mustard seed, soya bean, refined soya oil and turmeric during the first phase of trading, UCX chairman Ketan Sheth told reporters after the exchange went live Friday.
UCX has already developed new variants of the existing permitted commodities and also a couple of new commodities that would be launched in due course of time subject to necessary approvals, Sheth said.
UCX has received more than 300 confirmations; of which, approximately one-third have been successfully on-boarded and the remaining two-third are at different stages of membership processing, UCX Managing director and CEO Praveen Pillai said.
"The key benefits given to members include multi segment product offering, optimal fees and deposits, zero blockage of excess risk capital, simplified and quick on-boarding of members, independent and professional management with a strong promoter consortium and customer centric approach, we aim to achieve a steady organic growth," Pillai said.
FMC chairman Ramesh Abhishek said, the five percent decline in commex turnover last year was due to 20 percent reduction in bullion trading.
On futures trading in guar, Abhishek said the regulator is expected to take decision soon as it has invited reports from the three commodities exchanges.