Brahmapur, June 10: In order to educate stakeholders of the commodity value chain, Multi Commodity Exchange of India Ltd (MCX) and Ganjam Chamber of Commerce, today conducted an awareness programme on commodity futures market at Brahmapur, Odisha. It aimed at increasing the participation of market players on commodity futures exchanges.
The interactive programme focussed on the fundamentals of commodity trading, benefits of hedging, functioning of a commodity exchange, and regulatory perspective among others. The market participants were explained in detail about the commodity futures market, which is a well-accepted and widely participated institutional innovation to help stakeholders discover future prices and to better manage risks to their businesses or economic well-being arising out of commodity price movements. The experts threw light on commodity market fundamentals and outlook of the commodity industry.
Mr. Vibhor Tandon, Assistant Vice President-Business Development, MCX said, “Through these awareness programmes MCX intends to put the commodity futures in right perspective which is most important as it will help the commodity value chain participants to understand about the commodity futures market thereby enabling them to reap the benefits from the two most important functions performed by the commodity exchanges i.e. price risk management and price discovery.”
Mr. V. V. Ram Narsinga Rao, President, Ganjam Chamber of Commerce said, “The demand for commodity futures as an effective hedging tool has been on the rise as the Indian economy continues to advance at a brisk pace. In the current environment where price risks remain integral components of commodity trades, the Indian commodity exchanges such as MCX have been playing an important role in helping the market participants proactively manage their risk exposures and boost their business competitiveness.”
“It was definitely worthwhile to have all our members attend this programme”, Mr. Rao added. The response from the participants was overwhelming and they desired to have more such programmes organized in the near future.