MCX opens new cold storages

Multi Commodity Exchange (MCX) added to the number of its designated cold storages to boost potato futures trading, reports Business Standard.

The MCX has opened new storages (delivery centres) from 6 in 2007 to 12 this year in West Bengal. The new delivery centres would operate in Bankura, Bardhhaman and Medinipore, apart from the existing ones in Hooghly, said sources at MCX.

None of the cold storages will be owned by the exchange, but only run by MCX through franchisee arrangements with the existing cold storage owners. The holding capacity of each of the storages is close to 3-5 lakh potato bags, each of 50 kg.

A majority of participants in the exchange are traders and cold storage owners. Framers largely remain out of the purview of commodity exchanges, due to their limited reach and the traditional supply chain for marketing potato. Therefore, MCX has conducted around 27 farmers programs in the 4 districts where the delivery centres are located.