Multi Commodity Exchange of India Limited (MCX) has received approval from Securities and Exchange Board of India (SEBI) to invest in a proposed Coal Exchange company, marking a strategic expansion into the coal segment and strengthening its presence across the energy commodities ecosystem.
The approval, granted on April 17, 2026, enables MCX to incorporate a wholly owned subsidiary, likely to be named ‘MCX Coal Exchange Ltd.’ or ‘MCX Coal Exchange of India Ltd.’ The move aligns with the exchange’s broader objective of building a comprehensive energy trading portfolio, complementing its existing offerings in crude oil, natural gas, and electricity futures.
The proposed Coal Exchange aims to create a regulated, transparent, and technology-driven marketplace for coal trading. It is designed to facilitate efficient physical delivery mechanisms while ensuring robust and market-driven price discovery across the country.
MCX will initially hold a 100% stake in the new entity, with provisions to onboard strategic partners at a later stage. The company has committed an investment of up to ₹100 crore to meet the minimum net worth requirements outlined in the draft Coal Exchange Rules. The platform will operate as a standardized digital marketplace, ensuring transparency and efficiency in coal transactions.
Following its incorporation, the new subsidiary will apply to the Coal Controller Organization of India as per the prescribed regulatory framework.
MCX, operational since 2003, remains India’s leading commodity derivatives exchange and the largest commodity options exchange globally, according to FIA 2024. The exchange accounted for approximately 98% of the total value of commodity futures traded in the financial year 2024–25. With a pan-India presence, MCX continues to play a pivotal role in enabling fair price discovery and effective risk management across commodity segments, including bullion, energy, metals, and agricultural products.
