ZAMACE has unveiled a trading platform where buyers and sellers can now search on a daily basis for prices of agricultural commodities.
According to a press statement from the Zambian Commodity Exchange (ZAMACE), the discovery of prices of grains was now a reality in the Zambia following the ‘live’ trading that was fully operational.
ZAMACE is the authorised agency for implementation of the warehouse receipt system (WRS) under the agriculture credits Act 35 OF 2010.
The WRC entails that farmers could deposit grains like maize, soya beans, groundnuts, wheat, into ZAMACE-certified warehouses and receive a receipt which could be used to obtain goods and services from participating fertiliser suppliers, chemicals and seed companies.
“Further, one can use the WRS to settle their equipment and tools and loan accounts with suppliers and access credit from participating financial institutions. So far, there are two participating banks, namely Stanbic and First National Bank (FNB) where farmers can approach the financial institutions to present their requirements and redeem part of their WRS receipts for cash,” the statement read.
And commenting on the ZAMACE trading platform development, Millers Association of Zambia (MAZ) president Andrew Chintala said ZAMACE was the answer to most challenges facing players in the food value chain sub-sector.
Zambia National Farmers’ Union (ZNFU) first vice-president Elico Spyron said ZAMACE was a good trading platform for everybody.
“It brings transparency and predictability to the market because farmers will know the price of the grain even before harvesting since buyers are readily available. But we need to explain to the farmers about the platform and how it operates since it is a new concept. This way, farmers will be confident to come on board,” noted Spyron.
ZAMACE executive director Jacob Mwale said: “With the coming of the ZAMACE trading platform, Zambian farmers, millers, agro-dealers, aggregators, food processors, suppliers of goods and services can transact on the commodity exchange using a transparent, guaranteed and structured trade transaction.”