This extract is reproduced with permission:
Commodity exchanges are an integral part of the trading value chain, as it provides an avenue for the traders, buyers and producers of the underlying commodity products to hedge their price risk.
Currently, a few large exchanges such as MCX attract the bulk of the trading and traders because of their technology and national-wide trading terminals. As a result, these exchanges have posted strong growth.
Read more about SMU’s Industry Study Mission India 2012 visit to Multi-Commodity Exchange of India Ltd.
Credit: International Trading Institute@SMU