JFX to Open World`s First Market for Tea Futures Contracts
13 October 2015 17:00 WIB
TEMPO.CO, Jakarta-The Jakarta Futures Exchange (JFX) is planning to open a market for tea futures contracts in mid November this year. "The JFX will be the world's first futures exchange that trade futures contracts for tea," president director Paulus Lumintang said on Tuesday, October 13.
According to Paulus, the exchange has completed 99 percent of the necessary licenses to trade the commodity. What's left to do now is wait for an approval from the Indonesian Futures Commodity Trading Supervision Agency (BAPPEBTI).
"Everything is completed; the infrastructure and the industry actors are also ready," Paulus said.
Paulus said tea was selected under the basis that Indonesia has a different type of tea compared to other countries'. "Historically, our tea is number seven in the world; it has a different character," he said.
The tea market will be divided into two specifications: black tea and green tea. Paulus is targeting for the commodity market to reach Europe.
"We will have plenty of contacts with exporters to help distribute the market overseas," he said.
The members of this futures market, he said, will be under the auspice of the Indonesian Trade Association (API). So far, there are already ten members.
According to plan, the tea futures contract market will open in mid November. "We were aiming for the end of October, but, circumstances forced us to push the schedule back two weeks," he said.
MAYA AYU PUSPITASARI