SICOM Coffee Makes Debut

The Singapore Commodity Exchange (SICOM), a subsidiary of Singapore Exchange (SGX), has recently launched its Robusta Coffee Futures Contract (SICOM Coffee).

 

SICOM Coffee is a physical delivery futures contract, traded in 5 metric tonnes per lot, of robusta coffee. Trading hours are from 10.00 a.m. to 12 p.m. and from 4.00 p.m. to 11.00 p.m., covering both Asian and European hours. Delivery will be made via warehouse receipts representing coffee stored in bonded warehouses in Ho Chi Minh City, Vietnam or Singapore. This simple and efficient delivery mechanism provides for a short delivery period and simplified logistics.

 

Mr Luong Van Tu, Chairman of Vietnam Coffee and Cocoa Association, said the launch of SICOM Robusta Coffee deliverable into bonded warehouses in Vietnam is Asian trade which will benefit Vietnamese coffee growers and exporters.