Commodities exchange ready for rollout next July
Tanzania Mercantile Exchange (TCX) is set to start operations in the next fiscal year after tackling some issues related to warehouse receipt. TCX is expected to start with cashew nut whose marketing season is between September and January.
The cash crop was chosen, thanks to its warehouse receipt system already in place. Capital Markets and Securities Authority (CMSA) Public Relations Manager Charles Shirima said in Dar es Salaam last week that currently experts are doing gap analysis study to ascertain the challenges that affected the warehouse systems prior to a sensitisation campaign for the launch of exchange.
The team, comprising CMSA experts, has visited the cashew growing areas in Lindi, Mtwara and Morogoro to get first-hand information on the challenges engulfing warehousing system.
“We plan to visit the same areas next time and work out the solution for the challenges... we see no reason of introducing a new product while farmers are complaining about the warehouse system,” Mr Shirima said.
CMSA had earlier announced that the exchange will kick-off this month but it has pushed back the launching date, pending the study. The preparations, including the regulations to guide the market operations, were going on well.
Other crops expected in