Awareness and Educational Seminar on Hedging for Commodity Stakeholders

Patna, Bihar, June 1, 2015 (Newswire.com) - Continuing its constant endeavour to spread awareness about hedging commodity price risks, Multi Commodity Exchange of India Ltd. (MCX) and the Forward Markets Commission organized an awareness programme in association with Bihar Chamber of Commerce and Industries on May 30, 2015, in Patna. It was tailored for members of the association and local market participants from Patna.

The programme was focussed on creating an understanding of the commodity futures market among the participants, thereby enabling their inclusion. The interactive programme was also centered around the fundamentals of commodity trading and the benefits of hedging commodity price exposures. The experts threw light on market fundamentals and on the outlook of the commodity sector.

Speaking on commodity futures trading, expert from MCX, Mr Vibhor Tandon, Assistant Vice President, said, “The exchange platform enables the commodity value chain participants to effectually hedge their price exposure against adverse price movements. At the same time, the exchange is also a platform where the commodity prices discovered are the true reflection of the real prices as the participants on this platform are from across the country and represent all sections of the economy."

” Mr O.P. Sah, President, Bihar Chamber of Commerce and Industries said, “There is a growing awareness among Indian market participants that commodity futures contract can be effectively used to avoid the risks arising from volatility in commodity prices.”

He further stated that “the session was quite beneficial and useful for the members.” He continued, “MCX will go a long way in educating the market participants on the benefits of hedging, thereby giving them the sanguinity to hedge risks.”

The participants showed keen interest, and they said that such programmes greatly benefitted commodity market participants and also gave them an opportunity to interact with experts in the field. The participants were keen on learning more about various innovative futures contracts in bullion, base metals, and the agri segment offered by the exchange.

About MCX:

Having commenced operations on November 10, 2003, Multi Commodity Exchange of India Limited (MCX) is India’s first listed, national-level, electronic, commodity futures exchange with permanent recognition from the Government of India. MCX offers the benefits of fair price discovery and price risk management to the Indian commodity market ecosystem.  Various commodities across segments are traded on MCX. These include bullion, energy, metals and agri commodities. The exchange has forged strategic alliances with various Indian and International commodity exchanges and business associations.