Indian Commodity Exchange (ICEX) has started 50 cents Diamond futures contract on 27 November 2017. It aims at educating and training the market players on the usage and benefits of the diamond derivatives market. The ICEX launched the world’s first diamond futures contract in August, but the initial contract size was 1 carat.
To start with futures contracts i.e. February 2018, March 2018 and April 2018 would be available for trading. The important quality parameters are HVS2, triple X with pointed culet and negligible fluorescence. All deliveries of futures contract during tender period or on expiry will be in electronic mode only.
The 50 cents contracts for expiry in February, March & April 2018 are expected to attract more industry participants as half carat diamonds are used in jewellery, the ICEX said.