ISLAMABAD: Securities and Exchange Commission of Pakistan (SECP) Chief Zafar Hijazi on Monday said that he was committed to bringing about reforms in agricultural commodity trading by encouraging traders to make use of Pakistan Mercantile Exchange (PMEX) platform as a modernised route for buying and selling agricultural commodities in Pakistan.
He was speaking at a consultative session with the agricultural traders of Faisalabad. It was organised by the SECP to further its endeavour to promote trading of agricultural commodities through PMEX and protect the interests of participants in the agriculture value chain, particularly farmers.
The PMEX and Pakistan Agriculture Coalition (PAC) chief executives and representatives of Agility Pakistan and SGS Pakistan also attended the session. Earlier, in August 2015, the SECP had approved red chilli futures contract as a pilot project, which is listed on PMEX and provides a platform to red chili traders in Pakistan for buying and selling red chili contracts.\
In order to assess the pilot project, the SECP team along with the officers of PMEX and PAC recently visited Kunri, the red chilli hub of Pakistan. After successful launch of the pilot project, red chilli futures contracts in all available varieties are planned to be listed on PMEX in the near future.
The primary objective of the session with the commodity traders in Faisalabad was to consult them regarding the upcoming full-scale varieties of red chilli as well as create awareness about the availability of PMEX platform as a sophisticated mechanism for buying and selling agricultural commodities.
About 60 traders, including aadhtis, participated in the session to gain information about the various benefits of using PMEX platform, including quality-tested product, swift payment within 24-48 hours, price transparency and guaranteed delivery and settlement through the exchange’s mechanism.
The session concluded on a positive note and the SECP chief reiterated that consultative sessions with key stakeholders would be carried out regularly to promote the use of the PMEX platform so that all participants in the agricultural value chain benefit from this modern and efficient way of trading commodities.
Source: Daily Times