Kazakhstan implements pilot project grain trade exchange
Astana, Kazakhstan, March 21
By Daniyar Mukhtarov - Trend:
Kazakh Kazagromarketing together with Eurasian Trading System Commodity Exchange and Food Corporation national company has begun implementing a pilot project on the grain stock market with the direct participation of its producers, Kazagromarketing said on March 19.
"This project implementation must provide grain producers with an opportunity of joining the additional sales market and receiving the highest market yield," the report says.
The test stock trading in real time were conducted to prepare for launching this project from March 4-14 of the current year on the basis of Kazagromarketing's representative offices with the support of the Eurasian Trading System, according to the report.
Food Corporation national company, stock brokers , and 18 grain farms from North Kazakhstan , Akmola, West Kazakhstan, Aktobe , Karaganda, Kostanai regions attended it.
"The participants of the pilot project started its implementation on March 18," according to the statement.
The deal on the sale of a test batch of grain was held, according to the statement. The price of the deal was formed in the bidding process in real-time between the seller's broker - Kazagromarketing and the buyer's broker.
Kazagromarketing started trading at 36,500 tenge ($ 1 = 182.06 tenge) per ton, while the buyer's broker offered 35,500 tenge per ton.
"Following the auction, the deal was concluded at the price of 36,000 tenge (about $ 200) per ton including VAT," according to the statement. "This price as an official quotation on the basis of the trades will serve as a guide for other sellers of wheat from the Akmola region."
Taking into account the positive experience of trading, as well as grain producers' bids for the sale of wheat, Kazagromarketing intends to continue trading in the coming days.
The company's representative offices are located in 160 regions of Kazakhstan. Therefore, every farmer who wants to sell the grain through the stock exchange at a market price, may apply to the nearby office of the company and use the services of a broker. Thus, the company contributes to the formation of a new distribution channel of selling domestic producers' goods.
Kazagromarketing's mission (subsidiary of KazAgro national holding) is to implement the state policy on the formation of the market infrastructure promoting agricultural products and services.
KazAgro national holding implements the state policy on the development of the agro-industrial complex of Kazakhstan by ensuring effective management of the investment assets of the companies included in its structure. The holding includes Food Contract Corporation national company, KazAgroprodukt, KazAgroFinance, Agricultural Credit Corporation, Fund for Financial Support of Agriculture, KazAgroGarant and Kazagromarketing.
Translated by NH
Edited by CN