Home Business Zimbabwe: Commodities Exchange to Go Live

Zimbabwe: Commodities Exchange to Go Live

Namibia: Peugeot Will Export 'Once Issues Are Resolved'

The commodities exchange, the Zimbabwe Mercantile Exchange (ZMX), is doing final engagements with key stakeholders such as farmers before the exchange goes live this month.

The engagements are to iron out any sticky issues to ensure a smooth flow of business once the exchange is operationalised, with a launch scheduled for March 31.

This week, farmer organisations have come forward with their input highlighting any concerns as well as showing support for the initiative, which is expected to boost the agriculture sector, from small holder to large scale farmers.

Commercial Farmers Union economist Chrispen Mununga, said farmers were looking forward to a platform that provides transparency, enhance the sustainability of farming activities, formalisation of small holder farmers as well as access to credit facilities through collateralisation of agriculture produce.

“They (farmers) are hoping the system will assist in closing the gaps caused by middle-men and stimulate price discovery,” he said.

The commodities exchange will be anchored on the warehouse receipt system (WRS).

This helps in ensuring an efficient market with a fair price discovery system that gives access to both local and international commodity buyers and better margins for the farmers.

Experts say the WRS provides an organised market of authorised formal players across the agricultural commodities value chain as well as encourage formalisation of small scale farmers, which will ensure the sustainability of the farming activities.