The PTA futures will be the world's first futures in the varieties; it will certainly enhance China's pricing right towards PTA (Purified Terephthalic Acid) in the world, if it is launched on schedule at Zhengzhou Commodities Exchange.

The PTA futures is expected to land in Zhengzhou Commodities Exchange this year. It is reported that the PTA futures has been approved by the State Council, but Zhengzhou commodities exchange declined to confirm the saying.

It is learned that the trade code of PTA futures to be listed at Zhengzhou commodities exchange will be name as PT, trading unit of PTA futures will be 10 tons per contract, price unit will be in yuan, and the minimal change in price will be one yuan per ton, maximum daily price fluctuation will be limited to 3 percent from the previous settlement price.

PTA futures are mainly delivered in Shanghai and Jiangsu.

Open data shows that China imported PTA of 4.55 million tons, 5.72 million tons and 6.49 million tons from 2003 to 2005, respectively. Due to higher reliance on imports, domestic prices have been enslaved to international prices. If China launches PTA futures varieties, it is expected to improve this passive situation.

It is learned that there is no PTA futures products in the international arena yet, if Zhengzhou commodities exchange is the first to come up with PTA futures, the futures' price can be used directly for pricing spot merchandise, thus increasing China's pricing right in PTA.
 
 
Fibre2fashion, News Desk - China