Domestic commodity exchange NCDEX and Singapore Commodity Exchange have signed an agreement for trading each others' products but the pact is subjected to regulatory approval from both the countries.
The exchanges will designate new products in response to market demand and jointly market and promote these designated products, an NCDEX statement said. Both the bourses will also collaborate on developing new products and market research.
SICOM and NCDEX are confident that the co-operation will grow their respective markets as it provides participants convenient trading access to both exchanges, the statement said. The agreement, which was inked in Singapore also allows cross membership access.
"We are delighted to be in partnership with NCDEX, the largest agricultural commodity exchange in India. We believe this will widen the product offering and market access for our respective market participants," SICOM Chief Executive Officer Jeremy Ang said.
NCDEX Managing Director and CEO R Ramaseshan said: "We are seeing the entire focus of attention of commodity trading shifting towards the Asian region where our two countries will be providing the platforms for trading to a wider cross-section of traders across the globe through this agreement."
SICOM is Singapore's regulated marketplace for trading of commodity futures and is one of the leading platform for natural rubber.