Egypt’s commodities exchange to start operation by year-end or early 2022 – official

Egypt is expected its long-anticipated commodities exchange to start operation within the end of the current year or early next year, the country’s stock exchange chairman said on Sunday.

“We are studying all the technological systems to set up the trading platform … Around three offers are understudy to select the suitable platform for the commodities exchange.” Mohamed Farid told a local press.

On September 9, Egypt announced the formation of its commodities exchange which will initially trade wheat, oils, sugar, and rice.

Egypt, the world’s largest wheat importer, formed the exchange with the aim of providing 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 and is chaired by Ibrahim Ashmawy, the current head of the internal trade development authority which falls under the supply ministry.

Farmers, traders, and producers will be able 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 then determine the price of these commodities for the consumer.