Agro Outlook
D A I L Y B U Z Z
The National Commodity & Derivatives Exchange on Wednesday announced the launch of forwards contracts on its national-level electronic platform.
The facility, named Agrim Sauda, will be available from Thursday, initially for sugar and maize. It will be extended to other commodities later.
The forward contracts will offer the benefits of transparent trade practices and national market reach through registered farmer producer organisations.
The introduction of Agrim Sauda is expected to help integrate the commodity ecosystem leading to a more developed and efficient agriculture market.
In addition to farmers, Agrim Sauda will help almost every participant in the segment, including processors, exporters, traders and government procurement agencies.
This may also make price predictability less onerous and is likely to contribute in the development of storage infrastructure for traded commodities in and around major producing and trading areas. With this initiative, a buyer or a seller from one part of the country has the benefit of being able to buy or sell any commodity in any part of the country.
