Indian Commodity Exchange (ICEX), the Mumbai-based online commodity derivatives platform that took over the National Multi Commodity Exchange (NMCE) in August, will add black pepper and cardamom to its list of traded commodities. ICEX CEO Sanjit Prasad said the exchange, which has begun trading in diamond, steel and rubber, plans to expand into plantation commodities. “We will launch black pepper contracts next month, followed by cardamom contracts,” Prasad said. Trading in black pepper futures on a national exchange was stopped some years ago after the seizure of mineral oil-contaminated pepper from warehouses.
At a meeting ICEX held with the black pepper traders, it was suggested that the trading lot and delivery unit of pepper contracts be changed from 100 kg to 1 tonne. “ICEX will endeavour to make rubber and pepper prices, discovered by hundreds of small Indian traders sitting in Kottayam, Ernakulam, Pala, Kushalnagar and Hassan, become global price benchmarks and establish Indian prices internationally,” Prasad said.
NMCE used to conduct futures trading in rubber.