MCX is launching Zinc Mini futures contracts

The Multi Commpdity Exchange (MCX) has announced the launch of Zinc Mini futures contracts with effect from Friday, February 17, 2023 onwards. You can check the announcement from the exchange here.


Zinc Mini Futures contracts will be available for trading as below:

Contract Launch date Contract Expiry Date Contract Expiry Month
February 17, 2023 March 31, 2023 March 2023
February 17, 2023 April 28, 2023 April 2023
February 17, 2023 May 31, 2023 May 2023
February 17, 2023 June 30, 2023 June 2023

Contract Specifications

Particulars Details
Symbol ZINCMINI
Description ZINCMINIMMYY
Contract Listing Contracts are available as per the Contract Launch Calendar.
Contract Start Day 1st day of contract launch month. If 1st day is a holiday then the following working day.
Last Trading Day Last calendar day of the contract expiry month. If last calendar day is a holiday then preceding working day.
Trading Period Mondays through Fridays
Trading Session Monday to Friday: 09.00 AM to 11.30 PM / 11.55 PM* (*based on US daylight saving time period)
Trading Unit 1 MT
Quotation/Base Value 1 Kg
Price Quote Ex-Warehouse Thane district (excludes only GST)
Maximum Order Size 100 MT
Tick Size (Minimum Price Movement) 5 paisa per kg
Daily Price Limits The exchange has implemented a narrower slab of 4%. Whenever the narrower slab is breached, the relaxation will be allowed up to 6% without any cooling off period in the trade. In case the daily price limit of 6% is also breached, then after a cooling off period of 15 minutes, the daily price limit will be relaxed up to 9%.
In case price movement in international markets is more than the maximum daily price limit (currently 9%), the same may be further relaxed in steps of 3%.
Initial Margin Minimum 10% or based on SPAN whichever is higher
Extreme Loss Margin Minimum 1%
Additional and/ or Special Margin In case of additional volatility, an additional margin (on both buy & sell side) and/ or special margin (on either buy or sell side) at such percentage, as deemed fit; will be imposed in respect of all outstanding positions.
Maximum Allowable Open Position For individuals: 7000 MT or 5% of the market wide open position, whichever is higher for all Zinc contracts combined together. For a member collectively for all clients: 70,000 MT or 20% of the market wide open position, whichever is higher for all Zinc contracts combined together.

Contract Launch Calendar for Zinc Mini (on a continuous basis)

Contract Launch Months Contract Expiry Months
February 2023 March 2023
February 2023 April 2023
February 2023 May 2023
February 2023 June 2023
March 2023 July 2023
April 2023 August 2023
May 2023 September 2023
June 2023 October 2023
July 2023 November 2023
August 2023 December 2023
September 2023 January 2024
October 2023 February 2024
November 2023 March 2024
December 2023 April 2024
3 Likes

Why exchange discontinued mini contracts in zinc lead & crude approx. 2 years back? was there any specific reason or sebi order?
pls let me know if, anybody knows the reason behind it.
thanks.

This is because the margins are crazy on non mini contracts and this is probably affecting volumes.

Hence the introduction of mini contracts.

Expect more mini contracts on other commodities.

Exchanges discontinues the small contracts when the specific commodity get cheap.
At lowered price, small traders, investors can afford it, so they can invest in it & become profitable when prices goes up, But exchange, regulators don’t want small retailers should earn profit, so they don’t launch new contact of small lot. And they launch small contract of those commodities which are very expensive & will face selling. retailers jump in it & get slaughtered.