China's futures market authorizes Asian exchange to use Chinese prices to develop products for first time

The soybean oil futures settlement price licensing agreement　was officially signed　by Dalian Commodity Exchange (DCE) and Bursa Malaysia Derivatives Berhad (BMD) on Thursday　during the 17th China International Oils and Oilseeds Conference　in Dalian, northeast China's Liaoning Province. 　

This collaboration marks the first time in the Chinese futures market that an Asian exchange is authorized to directly use the　delivery settlement prices　of Chinese commodity futures for new product development, according to Chen Anping, director of trading department at Dalian Commodity Exchange. 　

Soybean oil is one of the world's major edible oil products, and soybean oil futures are　the first oil futures listed by DCE, which　have　been widely utilized by industrial enterprises. In 2022, soybean oil futures were introduced to overseas traders as specified domestic products. 　

At present, soybean oil crushing by oils and oilseeds companies participating in DCE accounts for over 90% of the total　volume in China. From January to October this year, the daily average trading volume of soybean oil futures has reached 858,000 lots, and the daily average open interest has reached 907,000 lots.