ON-EXCHANGE TRADING IS AN ALTERNATIVE MECHANISM FOR SELLING AGRICULTURAL PRODUCTS
The conclusion is reached by the Conference for “On-exchange grain market. New opportunities for agrarians, processors and exporters in the Tambov region”
The Conference was organized by “MOEX” and the Committee of the Federation Council on Agrarian-and-Food Policy and Natural Resources on 2 April 2019, in Tambov. FAS was represented at the event by Head of the Department for Control over Agro-Industrial Complex, Anna Mirochinenko.
She informed participants about the valid policy documents, according to which on-exchange trade is a priority of the state policy in agricultural development, and the practical steps undertaken by the Government and FAS to develop on-exchange trade with agricultural staff and food products.
“FAS has drafted an Action Plan on systemic development of on-exchange trading on the markets containing a number of stimulatory measures designed to expand on-exchange trading and attracting market participants to it. Such measures include tax stimulation, priority access to transport infrastructure for the goods acquired through the exchange, ensuring possibilities for acquiring goods through eh exchange for public and municipal goods”, pointed outAnna Mirochinenko.
She described FAS efforts to ensure registration of off-exchange transactions with 3rd and 4th grade wheat at the exchange.
“Information obtained by registering off-exchange transactions, is the basis for price indices on the relevant bases that can be used by market participants in their practical work. It is the foundation for developing on-exchange trade with such derivatives as futures, enabling market participants to decrease their price risks and make grade trade more predictable”, Anna Mirochinenko.