Multi Commodity Exchange of India (MCX) received approval of SEBI Technical advisory committee to go live with its commodity derivative platform (CDP), said MCX on Sunday.

Earlier, the Securities and Exchange Board of India (SEBI) had advised MCX to postpone the proposed go-live of CDP as it involved technical issues. At that time, the matter was sent for discussion with SEBI Technical Advisory Committeee. However, SEBI’s tech panel gave green signal for the launch of CDP. “SEBI Technical Advisory Committee has recommended that MCX and MCXCCL may Go-Live with the CDP and to intimate SEBI regarding the proposed date for Go Live. Accordingly, SEBI has withdrawn its directions to MCX and MCXCCL to keep the proposed Go-Live of CDP in abeyance,” said MCX in its press release. The decision was taken after MCX and MCXCCL submitted their replies on the the issues raised by Chennai Financial Markets and Accountability on CDP. Currently MCX is conducting CDP mock tests for its smooth operation after its launch. A week ago, MCX shares dropped by as much as 9 per cent after SEBI, on Septemebr 29, asked the commodity exchange to postpone the launch of the CDP. The stock plunged 8.84 per cent to 1,914.60 during the day on the BSE. Later, it recovered some of the early lost ground and ended at 2,049.30, 2.43 per cent lower. At NSE, it ended at 2,049.70, down 2.23 per cent after falling 8.74 per cent to 1,913.25 during the day. About Multi Commodity Exchange of IndiaMCX is India’s first listed exchange that deals with commodity derivatives and provide a platform for price discovery and risk management. It started its operation in November, 2003 and works under the regulatory framework of Securities and Exchange Board of India (SEBI). It provides option of trading in a range of segments including bullion, industrial metals, energy and agricultural commodities, as also on indices constituted from these contracts.