MGEX Ending U.S.-Origin Requirement on Wheat Contract This Year

The Minneapolis Grain Exchange said it will remove by September a provision in spring-wheat futures contracts that requires delivery of only U.S. grain.

The exchange received approval from the U.S. Commodity Futures Trading Commission to make the change, MGEX said today in a statement on its website. Plans for the change were first announced in August, when MGEX indicated the requirement would be lifted no later than May 2013.

IntercontinentalExchange Inc. (ICE), a rival exchange, plans to offer milling-wheat, durum and barley contracts in Winnipeg, Manitoba, starting Jan. 23. Canada’s Conservative government passed a law last month ending the marketing monopoly held by the Canadian Wheat Board in Western Canada since 1943.

To contact the reporter on this story: Whitney McFerron in Chicago at wmcferron1@bloomberg.net

To contact the editor responsible for this story: Steve Stroth at sstroth@bloomberg.net

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