The Feasibility Of Coal Futures And System Design In China

China is a country with large amount of consumption and production of coal, the stability of domestic coal market make great contribution to the stable and health development of the whole national economy. However, the construction of domestic coal market is still lagging behind. First, because of the implementation of "two-orbit" system of coal's price (there are different price according to different enterprises), the spot market can not form reasonable price and reflect the fact of demand and supply. Second, there is not coal futures market as the helpful complementary market.According to the current situation of china domestic spot market of coal and futures market, this article analysis the necessity and feasibility of the china coal futures in an all-round way. At the same time, making use of the experience of global coal futures' transactions and domestic fuel oil futures' transactions, this article try to design the basic system of china coal futures, and propose the policy suggestion. Although, as to china coal futures, there are some aspects needed to be perfected, china has already meet the primary needs of conducting the coal futures transactions. Furthermore, there are many advantages for china to develop coal futures, it will be beneficial to macro control and micro decision for government; it will be beneficial to optimize the allocation of energy sources and guarantee the safety of energy sources; it is also beneficial to improve the operation of coal market, form unit and regular price system and protect the benefits of all enterprises involved. At present, this article suggest to establish the exchange place of coal futures in Shanxi, choose pyro-coal as the merchandise in the coal futures market, and design the futures contract, rules and process of china coal futures on the basis of some existed experience, such as CAPP(Central Appalachian) coal futures contract in NYMEX(New York Mercantile Exchange ) and china domestic. Furthermore, in order to make the coal futures to play its full function, china should further perfect the system of futures market, establish sound system of legislation and management. In addition, to establish the china coal futures market should take advantages of the industry association, pay attention to promotion and guide and encourage the related enterprises to participate in the coal futures market.