NCDEX to set up 900 more trading terminals across country

The National Commodity and Derivatives Exchange Limited (NCDEX) is planning to add between 800 and 900 trading terminals by the end of the current fiscal.

"NCDEX at present has 5,500 trading terminals across 400 locations in the country. We have been opening between 250 and 300 new terminals every month. By the end of this fiscal, we would set up another 800 to 900 terminals in the country," Anshuman H Sharma, assistant vice-president (product development) of NCDEX, told Business Standard.

Sharma was in Visakhapatnam to attend a seminar on 'Opportunities in Commodity Futures Trading' organised jointly by NCDEX and Steel City Securities Limited.

Over the next three months, NCDEX is going to add another 17 products for trading in NCDEX.

"The contracts currently being traded are in 23 commodities like gold, silver, soybean, cotton, rubber, pepper, wheat and turmeric. By the end of this fiscal, we are going to add another 17 products like steel, copper, nickel, energy products, maize, rice, chillies, cashew, jaggery, jeera, dhania. At present, between 80 per cent and 85 per cent of our turnover is being generated through agricultural products only," he said.

"We are working towards expanding this basket to other agricultural, energy and base metal products soon so as to provide a comprehensive basket of product contracts for traders by covering a larger section of the commodity sector in the country," Sharma added.

To enable members to give and take delivery, NCDEX has accredited across 12 states 66 delivery centres for all commodities, the highest number for any commodity exchange in the country, Sharma said.

"Currently our daily average turnover is touching around Rs 3,000 crore.This will further increase after the addition of the new trading terminals and new commodities," he pointed out.

To create awareness among the producers, traders and terminal operators, NCDEX is conducting programmes across the country.

"This year so far we have organised 75 such programmes and by the end of this fiscal we will conduct another 75 awareness programmes in small towns like Tirupati, Guntur, Nizamabad and Anakapalli," he said.