The initiative comes in response to strong demand from seed producers, cooperatives, traders and processors across Europe. Taken in partnership with ONIDOL, the French oilseed industry association, it further expands the range of oilseed derivatives available through Euronext Paris.
With prices under pressure as a result of sharp falls in output from western Europe and the Ukraine, industry participants have clearly expressed their interest in a new tool to cover exposure to fluctuations in the physical market. Euronext's sunflower seed future will enable producers, cooperatives and traders to optimize sales strategy, while processors will be better able to plan supplies and operations.
The sunflower seed future will be traded continuously on the Euronext Paris electronic platform. When trading opens on 15 February, delivery months will be April, June, August, October and December 2002, and February 2003, thus setting a 12-month horizon. Delivery ports are La Rochelle-Pallice in France and Ghent in Belgium.
The range of commodity derivatives traded at Euronext Paris currently includes four oilseed products -- rapeseed futures and related options, plus rapeseed meal and oil futures -- as well as milling wheat and maize futures. Trading in commodity derivatives rose by almost 42% from 2000 to 2001.
