ZCE Strong Gluten Wheat

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ZCE strong gluten wheat futures trade on the Zhengzhou Commodity Exchange (ZCE). They were launched on March 28, 2003[1].

Currently, China is the world’s top wheat producer[2].

Each ZCE strong gluten wheat futures contract represents 10 tons of deliverable 2nd grade strong gluten wheat, which is defined in accordance with Exchange standard Q/ZSJ001-2003, while substitutions at differentials that meet ZCE delivery rules are also good for delivery, and its delivery date is set as the first to last trading day of the contract month[3].

Each ZCE strong gluten wheat futures contract is subject to a margin rate equivalent to 5 percent of contract value (e.g., 979.5 yuan = 1959 yuan [WS809 last price on May 22, 2008] x 10 [tons/contract] x 5 percent) as well as a trading fee of 2 yuan (RMB) / contract.

Unlike its sister contract, ZCE hard white winter wheat futures, ZCE strong gluten wheat futures are far more actively traded, primarily because its commercial usage and definition of delivery eligibility are quite clear and because price volatility is relatively large due to a smaller amount of strong gluten wheat available for delivery. In 2008, ZCE strong gluten wheat futures traded 55,017,028 contracts (-29.43 percent YOY) and its turnover amounted to 1,140.7 billion yuan (-24.59 percent YOY), making it the second most actively traded (in terms of volume)on ZCE after ZCE sugar futures.

ZCE Monthly Volume by Product.JPG

ZCE Strong Gluten Wheat futures
Exchange Zhengzhou Commodity Exchange
Settlement Physically delivered
Contract Size 10 tons/lot
Pricing Unit 10 yuan (RMB)
Tick Value 10 yuan (RMB)
Contract Months Jan, Mar, May, Jul, Sep and Nov
Last Trading Day The seventh business day prior to the last trading day in the contract month.
Note: This contract is electronic ONLY -- no open outcry
  No Open Outcry Electronic
Trading Hours N/A 9:00-11:30 a.m. 1:30-3:00 p.m.
Ticker Symbol N/A WS
Price Limits N/A 3% above or below the previous trading day's settlement price


  1. History of ZCE. Zhengzhou Commodity Exchange.
  2. Record crop to ease wheat prices?. Toronto Star.
  3. Strong Gluten Wheat Futures Contract Specs. Zhengzhou Commodity Exchange.