The Egyptian Commodities Exchange (EGYCOMEX) is preparing to expand products traded on the platform sometime this year, with regulations for membership being finalized and expected to be approved in the first board meeting to be held soon.

Speaking at the inaugural commodity exchange conference, CEO Hossam El Garrahi shared that the exchange is looking to introduce petrochemicals, iron, cotton, and additional agricultural produce to the platform.

El Garrahi explained that negotiations with the marble sector to include marble products for trading are in the advanced stage, noting that the exchange is in discussion with the General Petroleum Authority to include grease and oil products as well.

The commodity exchange is currently focused on its transition from auctions to actual trading, and is concentrating on preparing trading operation regulations, he added.

It is also looking to collaborate with investment banks to implement a hedging mechanism against price fluctuations for essential commodities, explained Ibrahim Ashmawy, the Assistant Minister of Supply, in a press conference last week.

Ashmawy, also chairman of the Egyptian Mercantile Exchange (EME), highlighted the state’s strategic reserve of commodities, noting that it has secured enough reserves for six months.

The EME chairman added that, at the time, EGP 19 billion worth of commodities had been offered through the exchange.

Ashmawy explained that this was around 1.5 million tons of nine commodities; wheat, yellow corn, corn, bran, sugar, soybeans, salt, gold, and silver bullion.

There are currently 500 entities executing trades out of 1,450 registered companies, he explained.