Mumbai(Topmcxtips.com): India’s leading agri-bourse NCDEX has started the process of cleaning up the pepper stocks in in its warehouses in Kerala. Around 6,400 tonnes of pepper stocks are currently kept in our warehouses for the last 18 months.
The presence of mineral oil in pepper stocks has impacted its trading aspects and the issue has been on since 2012. The food safety authorities had seized the stock from some Kerala warehouses accredited by NCDEX after buyers complained that the stock contained mineral oil.
The Kerala High Court on August 28 directed the Food Safety authorities to allow the exchange to clean the pepper stocks without prejudice to the exchanges’ rights/claims, etc., against any party for the costs incurred.
NCDEX has notified all the depositors of pepper in its accredited warehouses that they should bear all the costs for cleaning. The Kalimirch Vyapari Association (KVA) had moved Madhya Pradesh High Court seeking justice for traders suffering due to non-delivery of black pepper by NCDEX.
NCDEX is expected to resume trading in pepper after the cleaning process is completed. NCDEX is the largest agriculture commodity bourse in the country. It generated a business of Rs 70,276 crore during August.