Euronext lance un contrat sur le sucre

Back

A hedging solution for European sugar

Paris – 26 January 2016– Euronext today announced that it will be launching a new Sugar commodities futures contract in the autumn of 2016, subject to regulatory approval.  Aimed at all the actors of the European Union Sugar ecosystem, the contract will allow the industry to hedge its positions against price fluctuations and anticipate future price movements, just as the Sugar quotas expire in the European market.  

The European Union is the third largest sugar producer and the second largest consumer in the world. Following a profound modification in its common organisation of the markets in agricultural products, the EU will abolish sugar production quotas on 30 September 2017. This major reform follows those covering the oilseeds, grains and dairy sectors in the EU over the last two decades, which all resulted in the need for efficient price risk management tools. Within this context, the new sugar contract will allow the EU sugar sector to manage their risk more smoothly in a transparent, regulated and liquid market.

Michel Portier, CEO of European leading Agricultural consultancy Agritel said, “In a context of liberalisation of the European Sugar markets, sugar beet producers will be free to increase their production. Europe will immediately become a net exporter of sugar and the actors involved in the industry will need tools to hedge their risk. This is why we welcome Euronext’s initiative and we are convinced this contract will be a success.”

Lee Hodgkinson, Head of Markets and Global Sales at Euronext, said, “The launch of this new commodity contract highlights our desire to provide hedging solutions to European agricultural sectors as they move into a more liberalised environment. This reflects our continued commitment to position Euronext at the heart of the real economy.”

Press Release Footer

About Euronext Euronext is the leading pan-European exchange in the Eurozone, covering Belgium, France, Ireland, The Netherlands, Portugal and the UK. The Norwegian stock exchange and its clearing & settlement subsidiary, together operating as Oslo Børs VPS, joined Euronext on 17 June 2019. With 1,300 listed issuers worth €3.5 trillion in market capitalisation as of end March 2019, Euronext is an unmatched blue chip franchise that has 24 issuers in the Morningstar® Eurozone 50 Index℠ and a strong diverse domestic and international client base. Euronext operates regulated and transparent equity and derivatives markets and is the largest centre for debt and funds listings in the world. Its total product offering includes Equities, FX, Exchange Traded Funds, Warrants & Certificates, Bonds, Derivatives, Commodities and Indices. Euronext also leverages its expertise in running markets by providing technology and managed services to third parties. In addition to its main regulated market, Euronext also operates Euronext GrowthTM and Euronext AccessTM, simplifying access to listing for SMEs.

Disclaimer This press release is for information purposes only and is not a recommendation to engage in investment activities. This press release is provided “as is” without representation or warranty of any kind. While all reasonable care has been taken to ensure the accuracy of the content, Euronext does not guarantee its accuracy or completeness. Euronext will not be held liable for any loss or damages of any nature ensuing from using, trusting or acting on information provided. No information set out or referred to in this publication may be regarded as creating any right or obligation. The creation of rights and obligations in respect of financial products that are traded on the exchanges operated by Euronext’s subsidiaries shall depend solely on the applicable rules of the market operator. All proprietary rights and interest in or connected with this publication shall vest in Euronext.

This press release speaks only as of this date. Euronext refers to Euronext N.V. and its affiliates. Information regarding trademarks and intellectual property rights of Euronext is located at www.euronext.com/terms-use.

© 2019, Euronext N.V. - All rights reserved.