InvestorQ : Can you tell me about the two new weather indices launched by NCDEX?
Anu Biswas made post

Can you tell me about the two new weather indices launched by NCDEX?

Answer
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Neelam Naik answered.
3 months ago


NCDEX will launch two rainfall-based indices that will track the systematic rainfall movement in the country. NCDEX will partner with SKYMET (the private sector weather forecasting company) for the domain expertise in this area. The two indices; Indian Monsoon Index (Cumulative Monsoon Index) and Indian Rain Index (Monthly Cumulative Rainfall Index) will provide data on the weather movement in the country. This will be dummy indices in the sense that they will not be available for trading. They will only be representative indices of rainfall in the country. The idea behind the Monsoon Index is to support the agriculture value chain with credible data. It can eventually emerge as a hedging tool for investors and farmer.