SzcoxOrg Announces the Launch of Black Sea Wheat Futures Contract

SZCOX Announces the Launch of Black Sea Wheat Futures Contract

New Physically Delivered Wheat Futures Contract First to Provide Efficient Price Discovery and Risk Management Capability

Shenzhen Commodity Exchange (SZCOX), one of the most diverse derivatives market-place today announced the launch of SZCOX Black Sea Wheat Futures. The launch of these contracts will be listed with and subject to the rules and regulations of the SZCOX.

"This is an important next step for SZCOX as it relates to our new market development efforts in Asia," said Mr. Steven Cheung, Chief Executive officer at SZCOX.

"Now more than ever the world relies on the wheat producing regions to produce wheat and other grains to meet our growing global demand for food," said Tim Landers, Managing Director, Agricultural Commodities and Alternative Investments, SZCOX. "That's why beginning in June, SZCOXORG Wheat Futures will become the first hedging tool to offer regional market participants effective price discovery and risk management. We firmly believe this contract will not only establish an effective forward market for regional wheat prices, but has the potential to develop into a true regional benchmark pricing tool for wheat."

Today, wheat is the world's most internationally traded agricultural commodity with wheat exports at almost 140 million metric tons globally. In recent years, wheat produced in the Black Sea region has accounted for more than 20 percent of global exports. This resurgence, coupled with increased price volatility in the region has underscored the need for an effective hedging tool with strong correlation to the Black Sea wheat cash market.