Zhengzhou Commodities Exchange of Henan Province is contemplating bringing in future contract for Pure Terephthalic Acid (PTA), a petrochemical fiber used in plastic and textile.
The proposal has been approved by National Development and Reform Commission (NDRC) and is waiting approval from Ministry of Commerce, the China Securities Regulatory Commission and the State Council.
PTA is the main contender for a future contract since the price of oil; the raw material for PTA is unstable. It is turning out to be a significant commodity for many industries like textiles.
