Contract Specifications of Zinc Ingot.

Type of Contract

Futures Contract Specifications

Name of Commodity

ZINC INGOT

Ticker symbol

ZINC

Trading System

NCDEX Trading System

Basis

Ex-Warehouse at Bhiwandi, exclusive of Import Duty, CVD/Excise, Cess, Sales Tax / VAT and any other levy or tax. In addition, the Buyers will be liable to pay delivery charges to Seller as notified by the Exchange before launch of respective contract

Unit of trading

5 MT (Five Metric Tonnes)

Delivery unit

5 MT (Five Metric Tonnes)

Quotation/base value

Rs per KG

Tick size

Re. 0.05/- per KG (5 Paise )

Quality specification

IS 209 -1992 / ASTM B6-03

Quantity variation

+/- 250 KGs or 2% whichever is lower

Delivery center

Bhiwandi, Maharashtra. Warehouse to be accredited within 50kms from the municipal limits

Additional delivery centres

Delhi. Warehouse to be accredited within 50kms from the municipal limits

Location Premium/Discount as notified by the Exchange from time to time

Hours of trading

As per the directions of the Forward Markets Commission from time to time, currently --
Mondays through Fridays : -
10:00 AM to 11:30 /11:55 PM*

Saturdays - 10:00AM to 02:00 PM
Expiry Date - at 5:35 PM / 6:35 PM*

*during US day light saving period

All timings are as per Indian Standard Timings (IST). The Exchange may change the above timing with due notice.

Delivery specification

The buyer and seller shall mark intentions of taking/giving through the delivery request window at least 3 trading days prior to the expiry of the contracts and the intention will be collected during 3 days which would be notified separately.

Deliver Logic

Intention Matching

No. of active contracts

As per the launch calendar

Opening of contracts

Trading in any contract month will open on the 1st day of the month. If the 1st day happens to be a non-trading day, contracts would open on the next trading day

Due date/Expiry date

Last trading day of the month

If last day happens to be a holiday, a Saturday or a Sunday then the due date shall be the immediately preceding trading day of the Exchange

Closing of contract

On expiry of the contract, all outstanding positions not resulting in giving/taking of physical delivery of commodity shall be closed out at the Final Settlement Price announced by the Exchange

Daily price fluctuation limit

Base daily price fluctuation limit is (+/-)4%. If the trade hits the prescribed base daily price limit, the limit will be relaxed up to (+/-)6% without any break/ cooling off period in the trade. In case the daily price limit of (+/-)6% is also breached, then after a cooling off period of 15 minutes, the daily price limit will be further relaxed up to (+/-) 9%. Trade will be allowed during the cooling off period within the price band of (+/-)6%.
In case of price movement in International markets which is more than the maximum daily price limit (currently 9%), the same may be further relaxed in steps of 3% with the approval of FMC.

Position limits

Member–wise: 6,000 Metric Tonnes or not more than 20% of the market open position, whichever is higher
Client–wise: 1,500 Metric Tonnes

The above limits will not apply to bona fide hedgers. For bona fide hedgers, the Exchange will, on a case to case basis, decide the hedge limits. Please refer to Circular No. NCDEX/TRADING-100/2005/219 dated October 20,2005

Mininmum Initial Margin

5%

Special Margin

In case of additional volatility, a special margin at such percentage, as deemed fit, will be imposed in respect of outstanding positions, which will remain in force as long as the volatility exists, after which the special margin may be relaxed.

Final Settlement Price

The Final Settlement Price shall be the last spot price of the day as polled by the Exchange on the last trading day of the contract.

 

Contract Launch Calendar ( Updated as on 28 January 2010 )

Contract Launch Month

Contract Expiry Month

27 January 2010

26 February 2010

27 January 2010

31 March 2010

1 February 2010

30 April 2010

1 March 2010

31 May 2010

1 April 2010

30 June 2010


Contract Launch Calendar :-

Contract Launch Month

Contract Expiry Month

05/06/2010

30/07/2010

05/06/2010

31/08/2010

01/07/2010

30/09/2010

01/08/2010

29/10/2010

01/09/2010

30/11/2010

01/10/2010

31/12/2010



Contract Launch Calendar of Zinc :-

Launch Date

Expiry Date

 1 November 2010

 31 January 2011

 1 December 2010

 28 February 2011

 1 January 2011

 31 March 2011

 1 February 2011

 29 April 2011

 1 March 2011

 31 May 2011

1 April 2011

30 June 2011



Members and market participants who enter into buy and sell transactions may please note that they need to be aware of all the factors that go into the mechanism of trading and clearing, as well as all provisions of the Exchange's Bye Laws, Rules, Regulations, Product Notes, circulars, directives, notifications of the Exchange as well as of the Regulators, Governments and other authorities.

Members and market participants trading on the Exchange in the commodity contracts shall be deemed to be aware of applicable laws and amendments thereof from time to time, including provisions and rates relating to the sales tax, value added tax APMC Tax, Mandi Tax, octroi, excise duty, stamp duty, etc., applicable on the underlying commodity of any contract offered for trading.

The Exchange shall not be responsible or liable on account of non compliance by any of the members and market participants of any such applicable laws or any amendments thereof including not being aware of rates of taxes, levies, etc., on the underlying commodity of any contract offered for trading.