Awareness programmes jointly organized by MCX, Tax Bar Association, and Balotra Jeweller Association in Jodhpur and Balotra respectively

Awareness programmes jointly organized by MCX, Tax Bar Association, and Balotra Jeweller Association in Jodhpur and Balotra respectively

Aimed at promoting market inclusiveness through financial literacy initiatives, Multi Commodity Exchange of India Ltd. (MCX) organized awareness programmes in Jodlpur and Balotra last week. These programmes were organized in association with Tax Bar Association (Jodhpur), and Balotra Jewellery Association respectively.

The programmes designed to enhance the participants’ knowledge about the commodity futures market, covered a wide range of topics such as introduction to commodity derivatives, benefits of futures trading and role of commodity futures exchanges, importance of price discovery, and price risk management among others.

Later there were brief sessions that focused on clearing and settlement procedures, and risk management, which are undoubtedly the most critical attributes for the successful functioning of commodity exchanges in India. The market participants were also apprised about the wide ranged product basket offered by the Exchange in bullion, base metals, energy, and agri segments.

Besides empowering stakeholders by disseminating relevant information and bringing about efficiency in marketing channels, the commodity futures market and its constituents have benefitted the Indian economy in terms of generating employment opportunities, highlighted MCX officials.

CA K. L. Soni, President, Tax Bar Association (Jodhpur) said, “­­­­While the necessity for risk management is definitely the need of the hour, with the amendments in section 43(5) of the Income Tax Act, a hedger will now be able to offset its profit /loss arising in futures markets against its physical books. This facility will encourage more hedger participation who were earlier taxed under speculative income/loss even though they were genuine hedgers.”

 Mr. Om Prakash Soni, President, Balotra Jewellers Association said, “The robust bullion futures platform on commodity exchanges such as MCX, which offers a cost-effective and highly efficient avenue for risk management, comes as a critical institution for the Indian bullion stakeholders, especially at a time when both gold and silver prices have been consistently displaying significant levels of volatility.”

 About MCX:

Having commenced operations on November 10, 2003, Multi Commodity Exchange of India Limited (MCX) is India’s first listed, national-level, electronic, commodity futures exchange with permanent recognition from the Government of India. MCX offers the benefits of fair price discovery and price risk management to the Indian commodity market ecosystem. Various commodities across segments are traded on MCX. These include bullion, energy, metals and agri commodities. The exchange has forged strategic alliances with various international exchanges, as well as Indian and international trade associations. For more information about MCX and its products visit www.mcxindia.com 

For further details, contact:

Shivani Sharma

Manager - Communications

Multi Commodity Exchange

Phone: +91 -22 67318888 Extn: 9282

Mobile : 9833376243

Email: shivani.sharma@mcxindia.com

URL: www.mcxindia.com

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