CSE to visit India to experience commodity exchange

The Chittagong Stock Exchange (CSE) has taken an initiative to launch commodity exchange first time in the country.

The Bangladesh Securities and Exchange Commission (BSEC) has already given approval to establish the move. 

However, no organization has previous experience in setting up the commodity exchanges in the country. Therefore, CSE has decided to visit the Multi Commodity Exchange (MCX) of neighboring India to gather knowledge and experience in this regard.
The proposed visit to India could take place in the first week of February this year. However, it depends on the global epidemic coronavirus infection situation. The CSE has already invited BSEC, Finance Ministry and Commerce Ministry to participate in the tour.

It was learned that BSEC has selected its four representatives to visit Multi Commodity Exchange (MCE). They are: BSEC Commissioner Prof. Dr. Shaikh Shamsuddin Ahmed, director Md Mansur Rahman, additional director Mohammad Nazrul Islam and assistant director Md Mehedi Hassan Roni.

The CSE also selected five delegates. They are named as CSE Chairman Asif Ibrahim, Shareholder Director Major (Retd.) Emdadul Islam, Acting Managing Director Md Ghulam Faruque, Assistant General Manager Maksudur Rahman and Deputy Manager and Product Development Committee Secretary Md Faisal Huda.

The Commerce Ministry also selected two representatives, but Ministry of Finance has yet not disclosed the name of delegates who would be sent to India.

BSEC Commissioner Prof. Dr. Shaikh Shamsuddin Ahmed will lead the tour.

It was learned that CSE is examining the possibility of trading one or more of the products like jute, cotton, gold, potato, onion, tea etc. through commodity exchange. Initiatives have been taken to introduce commodity exchanges with the aim of trading goods and providing services to consumers with a centralized market. As a result, organized and transparent market syndicates and such exchanges will play a key role in reducing price manipulation.

According to CSE sources, as per the instructions of BSEC, CSE has already formed a product development committee. As per the advice of this committee, decision has been finalized to visit different countries to acquire knowledge about how to operate a commodity exchange platform.

When asked, CSE Acting Managing Director Md Ghulam Faruque told risingbd that CSE has decided to visit the Multi Commodity Exchange (MCX) of India on its own initiative to gain experience of stock market stakeholders. Representatives of CSE, BSEC, Ministry of Finance and Commerce Ministry will be taken on the visit to gain experience. However, it has yet not finalized how many representatives will participate in the tour.