Ethiopia Commodity Exchange
Encyclopedia
The Ethiopia Commodity Exchange (ECX) is a commodities exchange
established April 2008 in Ethiopia
. In Proclamation 2007-551, which created the ECX, its stated objective was "to ensure the development of an efficient modern trading system" that would "protect the rights and benefits of sellers, buyers, intermediaries, and the general public"
The ECX is set up as a private company owned by a partnership of the market actors, members of the exchange, and the Ethiopian government, led by Dr. Eleni Gebre Medhin a former economist for the World Bank
. The physical presence of the ECX consists of 11 warehouses, two of which are located in Addis Ababa
. A trading floor in the same city, which handles 200 spot contracts in such commodities as Coffee
, sesame
, haricot beans, maize
and wheat
.
The first year of The Ethiopia Commodity Exchange's existence is documented in the PBS Wide Angle film The Market Maker.
Commodities exchange
A commodities exchange is an exchange where various commodities and derivatives products are traded. Most commodity markets across the world trade in agricultural products and other raw materials and contracts based on them...
established April 2008 in Ethiopia
Ethiopia
Ethiopia , officially known as the Federal Democratic Republic of Ethiopia, is a country located in the Horn of Africa. It is the second-most populous nation in Africa, with over 82 million inhabitants, and the tenth-largest by area, occupying 1,100,000 km2...
. In Proclamation 2007-551, which created the ECX, its stated objective was "to ensure the development of an efficient modern trading system" that would "protect the rights and benefits of sellers, buyers, intermediaries, and the general public"
The ECX is set up as a private company owned by a partnership of the market actors, members of the exchange, and the Ethiopian government, led by Dr. Eleni Gebre Medhin a former economist for the World Bank
World Bank
The World Bank is an international financial institution that provides loans to developing countries for capital programmes.The World Bank's official goal is the reduction of poverty...
. The physical presence of the ECX consists of 11 warehouses, two of which are located in Addis Ababa
Addis Ababa
Addis Ababa is the capital city of Ethiopia...
. A trading floor in the same city, which handles 200 spot contracts in such commodities as Coffee
Coffee production in Ethiopia
The coffee production in Ethiopia is critical to the Ethiopian economy with about 25% of the population depending directly or indirectly on coffee for its livelihood...
, sesame
Sesame
Sesame is a flowering plant in the genus Sesamum. Numerous wild relatives occur in Africa and a smaller number in India. It is widely naturalized in tropical regions around the world and is cultivated for its edible seeds, which grow in pods....
, haricot beans, maize
Maize
Maize known in many English-speaking countries as corn or mielie/mealie, is a grain domesticated by indigenous peoples in Mesoamerica in prehistoric times. The leafy stalk produces ears which contain seeds called kernels. Though technically a grain, maize kernels are used in cooking as a vegetable...
and wheat
Wheat
Wheat is a cereal grain, originally from the Levant region of the Near East, but now cultivated worldwide. In 2007 world production of wheat was 607 million tons, making it the third most-produced cereal after maize and rice...
.
The first year of The Ethiopia Commodity Exchange's existence is documented in the PBS Wide Angle film The Market Maker.