Commodities worth $710m traded at IME in a week

According to the report from IME International Affairs and Public Relations, last week, on the domestic and export metal and mineral trading floor of IME, 233,875 tons of various products worth close to $315 million were traded.

On this trading floor, 227,723 tons of steel, 2,720 tons of copper, 3,300 tons of aluminum, 120 tons of molybdenum concentrates, 12 tons of precious metal concentrates as well as 15 kg of gold bullion were traded by customers.

The report declares that on domestic and export oil and petrochemical trading floors of IME, 320,946 tons of different commodities with the total value of $395 million were traded.

On this trading floor, 145,750 tons of VB feed stock, 75,485 tons of bitumen, 71,924 tons of polymer products, 22,205 tons of chemical products, 827 tons of insulation, 1,656 tons of argon as well as 3,720 tons of sulfur were traded.

Furthermore, 696 tons of commodities were traded on the side market of IME.

The value of trades at IME during the past Iranian calendar month of Shahrivar (August 23-September 22) has increased 22 percent from its previous month, IME published on its website.

Some 2.168 million tons of commodities worth 102 trillion rials (about $2.428 billion) were traded at IME during the past month, indicating 49 percent rise in terms of volume.

On June 24, during the meeting of IME shareholders, IME Managing Director Hamed Soltani-Nejad said that this exchange has prepared ten macro plans to improve its performance during the current Iranian calendar year (ends on March 19, 2020).

He mentioned development of underlying assets through existing instruments, development of financial instruments for commodity-backed securities, expansion of market size and depth, increasing cooperation with other organizations, and strengthening IME brand as some of the mentioned macro plans.

Soltani-Nejad has previously announced that IME accounted for 39 percent of the value of the total trades in the Iranian capital market during the past Iranian calendar year.

He put the value of IME trades at 1.78 quadrillion rials (about $42.3 billion) in the past year.

The value of trades at IME rose 52 percent in the past calendar year from its previous year.

Over 24.84 million tons of commodities valued at 884.3 trillion rials (about $21.05 billion) were traded at the physical market of IME, showing seven percent fall in the amount and 77 percent rise in the worth of trades year on year.

Applying new financial instruments in Iranian capital market was one of the achievements of the country’s exchange markets during the past year. 

In this due, IME launched “option” in early March 2019 in an approach to diversify financing methods for agricultural products.

Option is a contract which gives the buyer (the owner or holder of the option) the right, but not the obligation, to buy or sell an underlying asset or instrument at a specified strike price prior to or on a specified date, depending on the form of the option.