NCME modifies, re-activates pepper futures contracts

The National Multi Commodity Exchange of India (NCME) has incorporated modification in its pepper futures contracts and is going to reactivate pepper contract. All the existing running contracts of Pepper shall get expired at the end of day on October 27, 2016, and new contracts in Pepper with revised specifications shall be available with effect from October 28, 2016.

This step has been taken based on the recommendations of its Trade Advisory Committee (TAC) on pepper. As per TAC recommendation, existing trading and delivery unit of ‘one tonne’ is being reduced to ‘one quintal’, enabling participation by small traders and farmers by incurring lower cost of margins.

NMCE was the first national level exchange, which provided its electronic trading platform in various commodities including pepper and rubber. As of now, NMCE is the only exchange having permission of SEBI, for pepper contract for trading on continuous basis.