New Rapeseed Meal Future At Parisbourse SBF SA

On 29 October 1999, ParisBourse SBF SA will open trading in a new rapeseed meal future. A by-product of rapeseed oil production, rapeseed meal is a high-protein animal feed. Specifications for the rapeseed meal future were drawn up in close cooperation with industry professionals from not only France, but also Germany, Belgium, Denmark, the Netherlands and other parts of Europe. Based on FOB Rhine, the benchmark for the European physical market, the quantity per contract is 50 tons and the contract will be quoted in euros. The underlying product is a standard-quality meal produced in Europe. Six delivery months will be traded at all times; the first, which open on October 29, are February 2000, May 2000, August 2000, November 2000, February 2001 and May 2001. Delivery ports are in Germany and Belgium. Two market makers, Céréol in Germany and Speelman in the Netherlands, will offer bids and asks for minimum quantities at all times, allowing participants to initiate and unwind positions in favorable conditions. The rapeseed meal future is the third new commodity contract launched this year by ParisBourse SBF SA, following options on rapeseed futures, opened on May 28, and corn futures, opened on October 1. This is also the third rapeseed product offered by ParisBourse SBF SA. Others are a rapeseed futures (showing a year-on-year rise of 50% for the first nine months of this year) and its option. Rounding out an offering which has become a benchmark for the European oilseed industry, the new contract also opens up new opportunities to combine several ParisBourse SBF SA derivative products. This has given rise to new industry requirements, particularly in downstream sectors such as processing.