MCX, the country's largest commodity derivatives exchange, has empaneled refined lead producers' brand for making delivery on the exchange platform.

The exchange has placed a principal document with entire process for becoming MCX Registered India Refined Lead Brands.

Currently, only LME-approved brands of Lead are deliverable on the exchange. With this empanelment, domestic lead refiners following the MCX laid down norms will be eligible to deliver their produce on the exchange.

MCX has empaneled Pilot Industries and Gravita India to facilitate their produce as MCX Good Delivery Lead with a purity of 99.98 per cent and above.

MCX expects few more producers’ facilities — which are at various stages of audit process of empanelment — will be included in the list soon.

Dpmestic organised trade

PS Reddy, Managing Director of the exchange, aid the move enables acceptance of domestically produced Refined Lead ingots from empaneled producing facilities and enhances domestic brand identity and recognition.

This will also contribute to nation-wide organised base metal trade, price discovery and transparency, he added.

MCX has witnessed delivery of over 25,000 tonnes of lead since conversion of lead futures contract into compulsory delivery settlement in June 2019.

Lead ingots with minimum purity of 99.97 per cent are deliverable at multiple delivery centers including Chennai, Thane, National Capital Region and Kolkata.

One nation one price

The objective of this domestic brand empanelment is essentially to achieve one-nation-one-price through the transparent price discovery and efficient delivery mechanism on the exchange, said MCX.

This induction of domestic brands will help in reducing regional price disparities.

Earlier, MCX has established the Good Delivery Norms for BIS standard Gold and empaneled specific domestic refiners who satisfied the eligible criteria of the exchange, for the delivery of gold bars against the Gold Mini (100 grams) contracts.

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