NCDEX to re-launch its Steel Long Contract on 21 Nov, 2013

Indian commodity exchange NCDEX to re-launch steel long contract w.e.f 21st November 2013

NCDEX (National Commodity & Derivatives Exchange Limited), India’s multi-commodity exchange is going to re-launch its steel long contract from 21 Nov, 2013. NCDEX had closed its contract for Steel long on 17 Aug, 2012, owing to government’s notification on implementing BIS (Bureau of Indian Standards) for semi finished and finished steel.

As per BIS norms IS 2830 requirement of Sulphur and Phosphorous together should be below 0.10, whereas Indian secondary steel manufacturers make commercial grade steel having Sulphur and Phosphorous between 0.12 to 0.15

Previously, Steel Long contract was launched under BIS on a ‘Direct Delivery basis’. Now the Company is re-launching the contract with updated delivery model wherein delivery can be tendered at exchange approved warehouse with an option of direct delivery also.

The Major changes and Modifications are following:

• Grade shifted to BIS-2830 from Commercial
• Base center shifted to Mandi Gobindgarh in place of Ghaziabad
• Ghaziabad is now an additional delivery center
• Tender period will start on 11^th of every month which was previously 5^th
• An additional option for Direct Delivery will be also available (T&C apply)
•  Additional delivery centers i.e. Hyderabad has replaced Chennai from Southern India and Kolkata has replaced Jharsuguda from Eastern India.
• Staggered Delivery reduced from 15 days to 11 days.