MCX: Developing Indian Commodity Ecosystem Joseph Massey Deputy
Managing Director MCX
Slide 2
Why nations need commodities markets Commodities are generic
Prices are determined on global basis international trade
Information effect Inter-substitutability Food for energy Commodity
as investment Price related switching Market pricing efficient
& gives long term signals All carry price risk & better to
manage
Slide 3
Indian Contribution to Global Futures Market
Slide 4
Market Share of Traded Futures Volume
Slide 5
Share of Global Commodities in India
Slide 6
Share of Agri, Energy & Metals of the Total MCX Volume in
Contracts Traded (2006) Energy 15% Metals 67% Agri 18%
Slide 7
Mini Contracts of Global commodities in Indian Time Zone
Availability of smaller contracts on Indian exchanges helps smaller
traders/companies to hedge their risk Price discovery at Indian
time zone High level of relationship between Indian and global
markets in globally linked commodities
Slide 8
New developments expected New products Options and Indices
(Weather, commodity, Carbon Credits, freight, etc.) Exchange traded
funds Banks, MFs and FIIs in commodities market Global strategic
alliance and cross listing of products Domestic investors going
global Capital account convertibility & greater global
integration
Slide 9
MCX Growth Story
Slide 10
Market Share of Global Bullion Exchanges (2006)
Slide 11
Market Share of Global Energy Exchanges 2006
Slide 12
MCX Comdex Vs Global Commodity Indices Correlation of COMDEX
with: CRB Index 33.71% Rogers com Index83.24% DJAIG com Index
48.70% GSCI spot Index 69.24%
Slide 13
MCX Cross Border Strategic Alliances
Slide 14
MCX Reforming Commodity Ecosystem National Level Price
Discovery in Perishable & Non-Perishable Commodities, Market
Infrastructure and National Reach. Collateral Financing Increase
the Holding Capacity Grading & Standardization
Slide 15
Gramin Suvidha Kendras: MCX - India Post Initiatives Shri S P
Tayde Village Postmaster Dhamangaon writing MCX rates on Board
Villagers in Dhamangaon benefiting from MCX futures commodity
prices
Slide 16
Commodity Suchna Kendras: MCX Initiative An e-Ticker in Indore,
Madhya Pradesh First Commodity Suchna Kendra at APMC, Vashi being
inaugurated by Shri Sharad Pawar
Slide 17
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9044 Web : www.mcxindia.com DISCLAIMER:The Information in the
presentation is solely for informational purpose and should not be
regarded as a recommendation by MCX. All information in the
presentation is obtained from the sources believed to be reliable
and MCX or any of the associate entities make no representation as
to its completeness or accuracy.MCX accepts no obligation to
correct or update the information or opinion.No member of MCX or
its associate entities accept any liability whatsoever consequent
ional or other loses arising from the use of the presentation and
or further communication in relation to this presentation. MCX hits
record turnover of 17987 crores