Ethiopian Commodity Exchange
Ethiopian Commodity Exchange(ECEX) was set up with the aim of establishing an efficient and dynamic market system for the agricultural sector of the country. There was expectations that this Ethiopian Commodity Exchange would provide efficient risk management services to the people of Ethiopia and would also ensure market transparency in its' commodity trading transactions.
Contribution of Ethiopian Commodity Exchange towards Ethiopian Agricultural Sector
The farmers of Ethiopia gained largely through this Ethiopian Commodity Exchange. They got the opportunity to access international market.They were no more restricted to local markets.
The Ethiopian Commodity Exchange provided them the scope of forward contracting. By involving in commodity forwards trading of their agricultural commodities, the farmers of Ethiopia were able to manage risks.
As the Ethiopian Commodity Exchange ensured market transparency in its' transactions, the farmers got the advantage of price negotiations. Commodity futures trading of agricultural commodities helped the farmers in taking right planting decisions.
Organization and Operations of Ethiopian Commodity Exchange
Ethiopian Commodity Exchange is run by a joint board of owners and members. Members of Ethiopian Commodity Exchange have the right to own permanent trading seats. The trading activities of the exchange is independently managed by professional managers.
Being based at Addis Ababa, this multi-commodity exchange conducts commodity futures trading at national level. In the Ethiopian Commodity Exchange, commodity trading is carried out through the electronic trading platform and also through auctioning system of Open Outcry. The clearing and settlement system of the exchange is operated by three Settlement Banks, who are also the partners of Ethiopian Commodity Exchange.
The Ethiopian Commodity Exchange runs a network of 200 district level market information points and 20 terminal centers in the remote areas of Ethiopia.
More Information Related to Commodity Trading
|Trading Exchange||Trading Advisor|
|Day Commodity||Futures Trading|
|Indian Commodity Trading||International Commodity Trading|
|Trading Option||Trading Strategy|
|Trading System||US Future Commission|
Last Updated on : 27th June 2013