Kochi: Industry stakeholders have largely welcomed NCDEX Ltd’s decision to relaunch Black Pepper Futures, with the SEBI-regulated exchange saying the move will revive a pricing mechanism that has been absent from India’s commodity markets for over a decade.
Traders and growers have highlighted the importance of the contract for price discovery. At the same time, they have stressed the need for proper checks and balances to ensure transparency and protect market participants.
NCDEX recently announced that the black pepper futures contract will start trading from July 15. Kochi has been designated as the delivery and pricing centre for the contract.
Initially, four contracts will be made available for trading. These include contracts expiring in August, September, October, and November.
The relaunch is being seen as a significant step for the pepper industry in Kerala and other growing regions, as it could provide growers and exporters with a regulated platform to hedge price risks.
