New Delhi: Country’s third largest commodity bourse National Multi-Commodity Exchange (NMCE) is all set to relaunch futures trading in coffee, especially robusta variety, Tuesday.
“We are relaunching futures trading in coffee on 9 September,” NMCE Managing Director Kailash Gupta told PTI.
The exchange had started futures trading in coffee earlier in 2005. However, it was discontinued after five months due to speculative trading.
“We decided to re-position coffee on our exchange after seeing the potential in the global commodity market. In fact, coffee is the second largest traded commodity after crude oil in the world,” he said.
Initially, the exchange is launching November and December contracts, we hope to create good volumes in these contracts, he added.
According to Coffee Board, India produces only 4% of the world’s coffee, but exports 70-80% of its output.
For the year 2008-09, the Board has estimated coffee production at 2.93 lakh tons post blossom, up by 11.83% in a year-ago post monsoon period.
Sacking, isabgul seed, rape and mustard seed are largely traded commodities on NMCE counter. During first fortnight of August, it registered a turnover of Rs883 crore.