National Commodity & Derivatives Exchange Ltd (NCDEX) is launching futures trading in animal feed ‘rapeseed mustard oil cake’ on Monday, 24 April 2017, and that will expire in May, June, July & August. The step will aid all share holders to hedge their price risks and get price signal in a transparent way. It will be a compulsory delivery contract with centers at Kota, Jaipur, Alwar and Sri Ganganagar.
The interlocution of rapeseed mustard oil cake to the product basket is intended at offering an exhaustive and wholesome risk management offering to the market. The transaction charge will be Rs 0.10 per lakh of trade with away from risk management, making it highly cost effective contract for the trade, the NCDEX said.
India, being among the world’s top three producers of mustard seed and a leading exporter of de-oiled cake, the availability of a national price benchmark will promote the feed industry. Rapeseed mustard oil cake is used for poultry, fish and swine industry as feed application.