Egypt is expected to start trial operation of its long-anticipated commodities exchange – known as Egycomex within late April or early May this year, its Supply Minister Ali Moselhy said on Saturday.
In September, Egypt announced the formation of its commodities exchange which will initially trade, wheat, oils, sugar, and rice.
The Egyptian commodities exchange is planning to add some non-agricultural produces such as iron, gold, and cotton to its spot trading platform, said its chairman Ibrahim Ashmawy in previous statements back in September. .
Egypt, the world’s largest wheat importer, established the exchange designated to provide protection for small farmers and producers and making their stocks available to the wider market.
The exchange has 91 million Egyptian pounds ($5.8 million) in capital.
Farmers, traders, and producers will be enabled to deposit their stocks in any of the supply ministry’s certified storage facilities where they will be evaluated and graded, then directly traded on the electronic platform. The supply and demand will afterwards determine the price of these commodities for the consumer.
