Important Announcement: Change in tender period for Base Metals
The MCX Exchange has made a key adjustment to the tender period for Base Metal contracts under the Staggered Delivery System. Here's what it means:
What is the tender period?
The tender period is the window during which sellers in commodity futures contracts can notify the exchange about their intention to deliver the commodity physically. Buyers need to be prepared to accept the delivery during this period.
What’s the change?
Previously, the tender period for Base Metals contracts was 5 days. Starting January 2025, this period has been reduced to 3 days for contracts expiring from January 2025 onwards.
Why is this important?
- - To reduce the tender period for quicker delivery of commodities, streamlining the settlement process
- - To align with the delivery process with global best practices, improving market efficiency
Commodities Affected
The change applies to all Base Metals contracts, including:
- - Aluminium
- - Copper
- - Lead
- - Nickel
- - Zinc
- - Steel Rebar
Effective Date
This change will take effect for contracts expiring in January 2025 and beyond.
For further details, refer to the MCX circulars here.
