MCX to Introduce Silver 100 Futures Contract on June 1, Expanding Access to Smaller-Ticket Silver Investments

MCX Launches 'Silver 100' Futures Contract for Retail Investors and Small Businesses

The Multi Commodity Exchange of India (MCX), the country's largest commodity derivatives bourse, has launched the 'Silver 100' futures contract, a new 100-gram silver futures product aimed at expanding participation in silver trading by retail investors and small businesses. The Silver 100 futures contracts commenced trading on June 1, 2026, with expiry contracts available for June, July, August, September, October, and November 2026, according to an MCX circular.

This launch marks an expansion of MCX's silver derivatives portfolio, which currently includes silver futures contracts of 30 kg, 5 kg, and 1 kg, alongside silver options contracts in 5 kg and 30 kg monthly tenures. The new contract is designed to help businesses in India's silver industry protect themselves against price volatility. Local jewellery businesses can now hedge or take delivery in quantities that are better aligned with their inventory needs, reducing the need to commit larger amounts of capital or take exposure beyond actual business requirements.

The Silver 100 futures contract will also help retail participants to invest in silver in smaller quantities over time, while trading through a secure regulated exchange framework. Key features of the contract include a trading unit of 100 grams, with price quotations based on 10 grams and quoted ex-Ahmedabad, inclusive of import duty and customs levies but excluding GST and other local taxes.

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Delivery, settlement, and quality specifications for the Silver 100 contracts include compulsory physical delivery through MCX Clearing Corporation-accredited facilities in Ahmedabad, with a delivery unit of 100 grams. Only silver bars with a purity of 999 fineness, compliant with IS 2112:1981 standards, will qualify for delivery. Bars must be serially numbered and sourced from LBMA-approved suppliers or refiners approved by the exchange. Any silver below 999 purity will be rejected. The final settlement price will be determined based on Ahmedabad spot prices for 999 purity silver (1 kg), which will be proportionately converted into a 100-gram value. Clearing and settlement for the contracts will be handled by Multi Commodity Exchange Clearing Corporation Limited (MCXCCL).