Untreated timber

The UCH carries out clearing activities in the direction (commodity market) “Untreated timber and lumber”.

Rules for Clearing Activities of Ukrainian Clearing House Limited Liability Company.

Regulations for Clearing Activities in the direction (commodity market) “Untreated timber and lumber” of the clearing institution - Ukrainian Clearing House Limited Liability Company.

RATES (AMOUNTS) OF THE GUARANTEE FEE (MARGIN) OF THE CLEARING INSTITUTION OF UKRAINIAN CLIENTING HOUSELimited Liability Company.

Scheme of payments in the direction (commodity market) “Untreated timber and lumber”

Exchange trading in the purchase and sale of untreated timber/firewood (of non-industrial use).

1. To ensure the conclusion of purchase and sale contracts/forwards based on the results of the auction for the sale of untreated timber/firewood, the clearing participant (buyer) transfers a guarantee fee of 5% of the starting (initial) price of the lot (hereinafter referred to as the conclusion guarantee fee) to the UCH account.
2. The UCH shall provide the Exchange with information on the amount of funds deposited by the clearing members to the UCH's account as the guarantee fee of the trade and other information necessary for the commodity exchange to carry out its activities.
3. The clearing member (buyer) submits an order for the purchase of untreated timber/firewood via the ETS of the commodity exchange, the guarantee fee of the conclusion is blocked.
4. The clearing member (buyer) and the clearing member (seller) shall conclude the exchange agreement / contract of sale of untreated timber / firewood / forward.
5. The Exchange shall provide the UCH with information on the conclusion of exchange agreements/contracts for the purchase and sale of untreated timber/firewood /forwards, their prices, volumes of the exchange traded commodity/underlying asset bought/sold and other information necessary for clearing.
6. Upon completion of trading, the Exchange shall transmit to the Unified State Electronic Timber Accounting System information on concluded purchase and sale contracts / forwards.
7. If the contract of sale of untreated timber is concluded, under which the delivery of goods within the lot will be carried out by separate subdivisions (branches) of the seller trading participant, or forward, the clearing participant (buyer) shall transfer to the current account of the UCH within 5 (five) business days starting from the next business day after the day of the relevant auction a guarantee fee in the amount of 5 (five) % of the starting price of the lot purchased at the auction (hereinafter referred to as the conclusion guarantee fee) to ensure fulfillment of obligations under such agreement.
8. The UCH shall deduct the exchange/commission fee from the guarantee fee of the party to the exchange agreement and transfer it to the Exchange.
9. The parties to the purchase-sale/forward agreement make delivery and payment directly to each other, taking into account the terms of the conclusion guarantee fee.
10. After conclusion of the contract / forward based on the results of trading, the seller shall submit an order via the clearing accounting system or send a scanned copy of the letter to the e-mail address of the UCH, indicating the number of the exchange trading and the name of the commodity exchange where the relevant exchange trading took place, and a copy of such letter to the Exchange's e-mail address to transfer a part of the guarantee fee of the party to the exchange-traded contract/forward (buyer) (less the amount of the Exchange's exchange/commission fee) as partial payment for the exchange-traded commodity purchased at the auction to the seller.
11. Upon receipt of the order/letter, the UCH shall transfer to the seller (separate subdivisions (branches) of the seller) a part of the guarantee fee for further consideration by the seller in settlements with the buyer when the latter makes payment for the purchased untreated timber.
12. The Exchange shall receive from the Electronic Timber Accounting System information on timber shipment under purchase and sale contracts / forwards concluded as a result of exchange trading.
13. The Exchange shall provide the UCH with information on the buyer's fulfilment/non-fulfilmemt of the purchase and sale/forward agreement within 97-103% (tolerance level).
14. In case of reaching the tolerance level, the UCH shall return to the clearing member (buyer) the amount of the guarantee fee of execution under the buy-sell / forward contract.

To the clearing member that has breached its obligations to execute the exchange trade and conclude the untreated timber/firewood /forward contract, the UCH shall apply risk management measures provided for in the Regulations for Clearing Activities in the direction (commodity market) “Untreated timber and lumber” of the clearing institution - Ukrainian Clearing House Limited Liability Company.

In case the Exchange establishes facts of non-fulfillment/partial non-fulfillment of the terms of the purchase and sale contract (under which the delivery of goods within the lot is carried out by separate divisions (branches) of the seller)/forward, the UCH shall apply risk management measures to such clearing member, stipulated by the Regulations for Clearing Activities in the direction (commodity market) “Untreated timber and lumber” of the clearing institution - Ukrainian Clearing House Limited Liability Company.