Seminar on commodities exchange planned
JAKARTA (JP): The Indonesian Commodity Exchange Executive Agency (Bapebti) and the United Nations Conference on Trade and Development (UNCTAD) will hold a regional workshop on commodity exchange from May 17 to May 19 in Jakarta to discuss the risk management of commodity exchanges.
Nusjirwan Azis, chief of Bapebti's Market Development Bureau, said here Saturday that the workshop, which will be opened by the Minister of Trade Satrio Budiardjo Joedono, will seek the most suitable and effective risk management system for commodity exchange.
The participants of the workshop will share experiences in managing commodity exchanges.
Nusjirwan would not specify whether the workshop also will discuss the possibility of establishing a futures commodity exchange in Indonesia as Indonesian commodity traders have suggested.
Earlier, Arifin Lumban Gaol, Bapebti's chairman, said that based on UNCTAD's research, Indonesia needs to form a futures commodity exchange, at least for commodities such as coffee, cocoa and palm oil.
UNCTAD, however, is still studying the possible benefit and costs of such an establishment.
Kompas daily reported that 50 percent of transactions in palm oil on Kuala Lumpur's commodity exchange are done by Indonesian traders because Indonesia's exchange has not operated in palm oil trading.
Participants
Nusjirwan said officials from UNCTAD and the World Bank and some international commodity exchange experts from the London Commodity Exchange, the Coffee, Sugar and Cocoa Exchange of New York, the Tokyo Grain Exchange and Refco, an International commodity broker, will take part in the workshop.
The meeting will discuss such topics as risk management in Southeast Asia and research reports by the World Bank and UNCTAD.
The Asian focus on the London Commodity Exchange will be discussed by Clive Furness, the business development director of the London Commodity Exchange; forms and means of regional cooperation of commodity exchanges by Angus Kerr of Financial Research Associate London; regional concerns by Tan Hup Thye, the managing director of Refco Singapore Pte Ltd; and electronic trading system and communications links by Yoshi Fukkushige, the managing director of CNS International.
Ari Satari, a Bapebti official, said the Workshop will take place at the Sari Pan Pacific Hotel. Forty representatives from eight countries, including India, China, the Philippines, Japan, Malaysia, Singapore and Indonesia will be present. (03)