Commodity - Delivery


What are all the commodities available for physical delivery?
Most of the agriculture commodities in all exchanges are available for physical delivery. To know more:
MCX: http://www.mcxindia.com/SitePages/Delivery.aspx
NCDEX: http://www.ncdex.com/ClearingServices/ClearingServicesOthers.aspx
What is warehouse receipt?
A warehouse receipt is a document that provides proof of ownership of commodities (e.g., bars of copper) that are stored in a warehouse, vault, or depository for safekeeping.
Warehouse receipts may be negotiable or non-negotiable. Negotiable warehouse receipts allow transfer of ownership of that commodity without having to deliver the physical commodity. Warehouse receipts also guarantee existence and availability of a commodity of a particular quantity, type, and quality in a named storage facility.
Do I have to pay sales tax on all trades? Is registration is mandatory?
No. Sales tax is not mandatory, if it is squared off before the expiry of the contract. The sales tax is required only in case of trade resulting into delivery.
What are the charges for taking delivery?
Apart from normal brokerage and transaction charges, a client or investor has to pay delivery brokerage, Value added tax or VAT and warehouse charge. These charges vary depending upon commodities.
Commodity - Delivery Commodity - Delivery Reviewed by Money99 on 11:31:00 Rating: 5

No comments:

Powered by Blogger.