The Chicago Mercantile Exchange (CME) is exploring the
possibility of joint trading with Indian commodity exchanges
in each other's markets. CME is currently in talks with
the major Indian commodity bourses like the Multi Commodity
Exchange of India (MCX), National Commodity and Derivatives
Exchange Ltd (NCDEX) and National Multi Commodity Exchange
of India (NMCE), John P Davidson, managing director and
chief corporate development officer, CME, said at an interactive
session with Assocham.
said a high-level CME delegation has held intensive discussions
with all the three leading commodities exchanges. However,
business prospects would depend more on the policy decision
the Indian government takes, he added.
he said, is looking for tie-ups for a variety of partnerships,
including technical and strategic.
should work out a strategy for processing services. Market
markers increases liquidity and India must put in place
an appropriate law for facilitating market markers. We
would also like to have co-operations in education and
training in futures market," he said.
the Multi-Commodity Exchange of India (MCX) is planning
to develop markets for perishables with multiple delivery
system in collaboration with New Delhi TV (NDTV).
concept of strategic co-operation is essential, as India
has not yet opened up direct participation of foreign
institutional investors (FIIs) in the commodity exchanges.
We have not yet gone for the free float of the rupee.
Therefore, strategic co-operation with leading commodity
exchanges in the world is necessary," said Joseph
Massey, deputy managing director of MCX.
said the partnerships are aimed at exploring the possibilities
of larger alliances for products and commodities that
would benefit investors in the US and India in the long