NCDEX to launch rapeseed mustard oil cake futures on Apr 24

Leading agri commodity bourse NCDEX will launch futures trading in animal feed 'rapeseed mustard seed oil cake' on Monday.

Oil cakes, including rapeseed mustard, are used as feed applications to poultry, fish and swine industry.

In a statement, the NCDEX said it will launch four contracts in rapeseed mustard oil cake that will expire in May, June, July and August.

It will be a compulsory delivery contract with centres at Jaipur, Alwar, Kota and Sri Ganganagar in Rajasthan.

The transaction charge will be Rs 0.10 per lakh of trade with no risk management fee. Thus, it will be a highly cost effective contract for the trade, the bourse said.

The move will help all stakeholders hedge their price risks and get price signal in a transparent way.

"The addition of rapeseed mustard oil cake to the product basket is aimed at offering an exhaustive and wholesome risk management offering to the market. We look forward to the successful launch of the contract," NCDEX CEO and Managing Director Samir Shah said.

India being among the world's top three producers of mustard seed and one of the leading exporters of deoiled cake, the availability of a national price benchmark will benefit the feed industry.

(This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)