Commodity derivatives market regulator - Forward Markets Commission (FMC), under the recently introduced staggered delivery system, has permitted soyabean contract to be traded on the National Commodity & Derivatives Exchange (NCDEX).
As regards staggered delivery system, the proposal is approved with near month limit as 28 days prior to expiry date and no fresh open position is allowed during last 5 days of contract expiry including expiry day. The Commission also conveys approval to launch October 2012 and November 2012 expiries with effect from June 11, 2012 in soyabean.
The tender period for soybean shall start on 5th of every month in which the contract is due to expire. In case 5th happens to be a Saturday, a Sunday or a holiday at the Exchange, the tender period would start from the next working day.
Seller shall have an option of marking an intention of delivery on any day during tender period upto expiry of the contract and the corresponding buyer matched by the process put in place would have to take delivery. If a seller, who has given an intention to deliver, fails to meet their respective obligations, he would be penalized as per the current FMC guidelines.