MCX to accept delivery of 6 mm cardamom

Mumbai, Aug 9 (UNI) The Multi-Commodity Exchange (MCX) has decided to accept delivery of 6 mm cardamom from the September contract onwards, based on feedback received from planters, farmer organizations and traders.

Cardamom futures contracts were introduced on February 14, 2006.

Since then the contracts have witnessed participation from various market stakeholders across the country. The contracts clock an average daily turnover of Rs 12 crore.

In a statement, Joseph Massey, DMD, MCX, said, ''A total of 120 MT of delivery worth Rs 4.6 crore has been facilitated on the exchange platform till date. From September contract onwards, we will also accept 6 mm and above grade of cardamom but at a 15 per cent discount to 7 mm. Generally around 30 per cent of the crop is above 7 mm and 40 - 45 per cent is 6 - 7 mm''.

The move will help farmers and traders to hedge their risk and receive maximum benefit during the season. It will also enable increased deliveries at the exchange.

UNI