Dubai's DGCX to launch world's first region-specific plastic futures

09-Dec-08

The Dubai Gold & Commodities Exchange (DGCX) will launch the world's first region-specific plastic futures on 5 February, 2009. DGCX will offer plastic futures contracts on Linear Low Density Polyethylene (LLDPE) and Polypropylene (PP), creating a new and transparent pricing mechanism specific to two regions - the Middle East and South East Asia. Ahead of the launch, DGCX has approved leading warehouses and Delivery Point Operators. For the first time, plastic futures prices will incorporate local costs and regional demand-supply differences, enabling convergence of futures prices with those of the physical market.