IME Deep-Dive

A commodity venue distinguishes physical delivery from certificates and derivatives. A physical offer needs product grade, unit, lot size, location, delivery and payment terms. A warehouse certificate represents the specified claim under its rules, not an unlimited promise for any commodity at any location. A futures price and a spot delivery quote can differ because their dates and costs differ. For Iran’s commodity exchange, open the current offer and contract specifications; a materials price screen alone cannot establish participation or delivery rights.

Worked example (hypothetical)

A 20-tonne lot at 250 million rial per tonne has a 5 billion rial product value. Freight of 200 million adds 10 million per tonne. A per-kilogram quote must be multiplied by 1,000 before comparison with a tonne price.

Check your understanding

Can two steel quotations be compared without grade and delivery location? No. Match their specification, unit, date and total delivered cost.

Sources, reviewed 5 October 2026

• Raw Materials
• Fundamentals of Options on Futures