Indian Commodity Exchange Limited (ICEX) will launch Basmati Paddy 1121 futures contract on Thursday. The trading and delivery unit will be 10 metric tonnes and the delivery centre is Karnal, Haryana.
From Thursday, September, October and November contract expiry will be available for trading.
ICEX had received approval for launch of Basmati Paddy futures contract in the last week of March 2019. Since then it has engaged in educating the market participants with training and awareness by organizing workshop and seminar in Haryana, Punjab and Delhi.
The total Basmati paddy production in India is approx 10 million tonnes.The price of Basmati paddy is approx Rs. 4200 per quintal. The physical market size of Basmati paddy 1121 is around 6.5 million tonnes. Punjab and Haryana are major contributors with over 80 per cent production coming from these two states.