MCX’s New 100-Gram Silver Futures Contract Launched; Here’s How It Works

Mumbai, June 1: The Multi Commodity Exchange of India (MCX), the country’s largest commodity derivatives bourse, on Monday launched its ‘Silver 100’ futures contract. The new product offers 100-gram silver futures exposure, specifically aimed at retail investors and small jewellery businesses who found the existing larger-lot contracts out of reach.

Trading in Silver 100 commenced today, June 1, 2026. Expiry contracts are available for June, July, August, September, October and November 2026, as per the MCX circular issued on May 14, 2026.

The launch expands MCX’s silver derivatives suite, which already includes futures in 30 kg, 5 kg and 1 kg lot sizes, alongside silver options in 5 kg and 30 kg tenures.

Why It Matters

India’s silver market has long been dominated by institutional and large-scale traders, given the high capital commitment required for existing contracts. The Silver 100 contract changes that calculus.

Local jewellery businesses can now hedge price risk in quantities aligned with their actual inventory needs. Retail participants can build silver exposure over time through a regulated, exchange-backed framework — without committing to larger lot sizes.

Key Contract Details at a glance

• Trading unit: 100 grams
• Price quotation basis: 10 grams, quoted ex-Ahmedabad (inclusive of import duty and customs; excluding GST and local levies)
• Contract symbol: SILVER100
• Tick size: ₹1 per 10 grams
• Maximum order size: 600 kg
• Trading hours: Monday to Friday, 9:00 am to 11:30 pm / 11:55 pm

Contract Start and End Dates

Each contract starts on the first day of its launch month. If that day is a market holiday, trading begins on the next working day.

The last trading day is the final calendar day of the expiry month. If that day falls on a holiday, the preceding working day becomes the last trading day.

Margins and Price Limits

• Initial margin: Minimum 10%, or SPAN-based, whichever is higher
• Extreme loss margin: Minimum 1%
• Daily price limit: 4% initially; expands to 6% if breached (no cooling-off period); expands further to 9% after a 15-minute cooling-off period if the 6% limit is also breached

Physical Delivery — Mandatory

Silver 100 contracts are compulsorily settled through physical delivery. Key delivery details:

• Delivery unit: 100 grams
• Delivery centre: Ahmedabad, at MCXCCL-accredited facilities only
• Quality standard: 999 fineness (IS 2112:1981); bars must be LBMA-approved or MCX-approved supplier sourced
• Staggered delivery window: Last 3 trading days of the contract, including expiry day
• Funds pay-in for allocated buyers: T+1 working days

The final settlement price (Due Date Rate) is based on the Ahmedabad spot price for 999-purity 1 kg silver, polled on the expiry day by approximately 5:30 pm, and converted to the 100-gram equivalent.

Source:

• https://www.mcxindia.com/
• https://www.mcxindia.com/docs/default-source/circulars/english/2026/may/circular-287-2026.pdf?sfvrsn=b5b00c9e_0