Unique Client Code

The Unique Client Code (UCC) is a mandatory identifier assigned by commodity exchanges — MCX, NCDEX, and others — to each registered client of a commodity broker, enabling unambiguous identification of every participant in the commodity derivatives market for surveillance, regulatory reporting, and account management purposes. The UCC must be quoted for all commodity trading account activities including order placement, position monitoring, margin payments, and trade confirmation — ensuring that all trades are accurately attributed to the correct client. SEBI mandates that commodity brokers collect complete KYC documentation before assigning a UCC, and that the UCC be linked to the client's PAN number for tax reporting and anti-money laundering compliance. The UCC system in commodity markets serves the same function as the Unique Client Code in equity markets (established by SEBI in 2005) — creating a unique, non-reusable identifier for each client that prevents identity confusion, facilitates cross-market position limit monitoring, and enables SEBI and the exchanges to track aggregate client-level exposures across multiple brokers. For commodity market participants in India, the UCC is required for accessing MCX gold, silver, copper, crude oil, and agricultural commodity futures and options. Commodity UCC data is shared between SEBI, MCX, NCDEX, and the Income Tax Department to ensure complete tracking of commodity trading profits and losses for taxation purposes — with commodity trading profits reported under 'Income from Business and Profession' for frequent traders.