The Multi Commodity Exchange (MCX) is gearing up to introduce its new commodity derivatives platform on October 3, 2023. This prominent Indian commodity exchange, founded in 2003, officially announced the upcoming launch and revealed that a mock session ahead of the platform’s debut is slated for October 2, 2023.
MCX’s announcement regarding the launch of the new commodity derivatives platform stated, “In terms of the provisions of the Rules, Bye-Laws, and Business Rules of the Exchange and in continuation of earlier circular no. MCX/TECH/624/2023, dated September 18, 2023, members of the Exchange are notified as follows: The Exchange will go live with the new Commodity Derivatives Platform from Tuesday, October 03, 2023.”
The exchange also mentioned, “Furthermore, in this regard, the Exchange has also planned to conduct mock trading on October 2, 2023, to allow members to participate, validate setup and connection during the mock trading session, for which a separate circular would be issued. To facilitate early login and verification on October 03, 2023, the Exchange system would be available for login from 6:00 am onwards.”
MCX is set to launch its new commodity derivative platform, which is powered by Tata Consultancy Services (TCS). The mock session is expected to ensure a seamless transition to the new platform.
Commenting on the potential impact of this move on MCX and the Indian commodity market, Anuj Gupta, Head of Commodity & Currency at HDFC Securities, stated, “This step is a welcome one as the new technology will enhance the trading experience for members. It is expected to benefit MCX by boosting trade volumes.”
Notably, this is not the first time MCX is adopting a new technology platform. Previous attempts by MCX faced technical challenges, leading to the renewal of their contract with 63 Moons. MCX extended its agreement with 63 Moons in June of this year, securing the platform until December 2023. This renewal comes at a quarterly cost of ₹125 crore, totaling ₹250 crore for the period from July to December 2023.