Welcome to the Largest Online Commodity Exchange in Nepal
MEX, during the formation of the company and in practical aspect of market addresses the various integral aspects of commodity economy, viz., warehousing, cooperatives, private and public sector marketing of agricultural commodities, research and training.
MEX is the only Exchange in Nepal to have such support from the commodity relevant institutions. These institutions are represented on the various committees set up by the Exchange to ensure good corporate governance...
Trading Markets
MEX operates at commodity futures markets and commodity CFDs. Contracts in Futures Markets and commodity CFDs results mostly in Cash Settlement and do not's frequently result in delivery.
The Futures Market is primarily intended for Hedging and Speculation. Contracts in Futures Market results mostly in Cash Settlement and do not frequently result in delivery. The Clearing House arranges guarantee of trades executed on the exchange. Contracts that must be closed out during settlement date. Delivery contracts will be delivered and settled through the certified receipts.
MEX has two types of exchange members. The Clearing Member (CM) is the one who clears all his/her trades with the Exchange. The Non-Clearing Member acts like an intermediary between the CM and Clients.
The CM also a right to clear the transactions in contracts executed in MEX either on its own behalf or on behalf of other NCMs. CMs will be responsible to MEX for all the obligations (margins, settlement obligations etc) of NCMs on whose behalf they have agreed to clear the trades. MEX will debit the banking account of the CMs for all the obligations of the NCMs who are clearing through CMs.
The Delivery period at MEX is last 5 days of the contract expiry month. After schedule for expiry of contract, members can either square up their position or give delivery to settle their outstanding contracts. Detail delivery provision and its manual shall be prepared by Clearing Member, and shall be forwarded to MEX.
Delivery related arrangements shall be based upon clearing member. Various steps required to be followed by the participants having outstanding position on last 5 days of contract expiry month. Sellers have to convey intention on prior to expiry of contract for trade on the delivery month. The intentions are then matched and assigned by the Clearing House Department.
There is a need to move agriculture to a market system of economy. This requires agriculture to be organized just like the industrial and service sectors of Nepalese economy. In addition, flow of corporate and institutional investment in the sector at present is negligible.
The need to facilitate the flow of easy credit to the farmers as a priority, through the use of warehouse receipts to get pledge financing from banks. In a nutshell, there is a need to integrate production, storage, transportation, trading, financing and marketing of agricultural product in Nepal. MEX would bring about the converge of large-scale processors, traders, and farmers along with banks.