MCX Share Price Rises 2%; Launches Nickel Futures Contract from August 18, 2025

The Multi Commodity Exchange of India Ltd (NSE: MCX) has announced the launch of its Nickel futures contract, effective August 18, 2025. The introduction of this contract aims to improve price discovery and foster greater participation from stakeholders across the nickel value chain in India.

Importance of Nickel

Nickel is a vital industrial metal with applications in stainless steel production, electroplating, EV batteries, and engineering industries. Since India is heavily dependent on nickel imports, consuming industries often face challenges from price volatility and supply disruptions, which significantly impact margins.

Benefits for Industry Participants

The Nickel futures contract is expected to provide a robust risk management tool. By enabling companies to hedge against fluctuations in nickel prices, the contract will help industries protect their margins and enhance competitiveness. As the contract is INR-denominated, it also allows participants to hedge commodity price risk and currency risk simultaneously.

Participation Scope

The new contract will not only benefit physical market players but also attract financial participants and investors. As an asset class, nickel futures can aid in portfolio diversification and liquidity enhancement, expanding the scope of participation beyond traditional users.

Commenting on the development, Ms. Praveena Rai, Managing Director, and Chief Executive Officer of MCX, said, “This listing is part of MCX’s ongoing efforts to make base metals contracts more efficient, transparent, and aligned with evolving market needs. By introducing an optimal trading unit, expiry schedules, and delivery centre, we are providing market participants with improved liquidity, greater predictability of delivery location and a product structure that matches global benchmarks. Our vision is to make India our own price setter for commodities we consume in the country's drive towards security and self sufficiency.”

Contract Specifications

• Trading Unit: 250 kgs
• Delivery Unit: 1500 kgs (from September 2025 expiry onwards)
• Last Trading Day: Third Wednesday of the expiry month, or the preceding working day in case of a holiday
• Delivery Centre: Thane
• Quality: LME-approved Primary Nickel cathodes, minimum purity 99.80%
• Tick Size: ₹0.10 per kg
• Price Limits: 4% daily
• Margins: Minimum 10% or SPAN, whichever is higher

MCX Share Price in Focus

On August 18, 2025, MCX share price opened at ₹8,300.00, up from its previous close of ₹8,148.50. At 11:02 AM, the share price of MCX was trading at ₹8,372.00, up by 2.74% on the NSE.

Also Read: MCX Q1 FY26 Results and 1:5 Stock Split Announcement!

Conclusion

The launch of Nickel futures on MCX marks a significant step in strengthening India’s commodity derivatives market. By offering a reliable hedging mechanism, the contract will support nickel-consuming industries, enhance market efficiency, and provide new opportunities for investors.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.