Konya Exports

www.konyaexports.com

Konya Exports October 2014

What are the Commodity Exchange and its

development in Turkey and in the world?

Commodity Exchanges are defined as

organizations that regulates the exchange of

standardized and commercial goods among

buyers and sellers under the controlled and

competitive conditions that meet the supply

and demand for the emerging of market

price. The origins of commodity exchanges

go back to 14th century, although in general,

it comes from 1200 to 1500 years BC. The

meetings of buyers and sellers during the

Roman and Phoenicians era have laid the

foundation of exchanges. In the 12th and

13th century with the introduction of the stock

papers a new era began. Exchanges and

trade fair has developed in Italy as before.

Burges in the 15th century can be considered

the pioneer of modern stock trading tech-

niques have been made. Today, one of the

largest known the stock market is the New

York Stock Exchange.

In our country, the historical roots of modern

commodity exchange, goes back to the

Tanzimat period of the Ottoman Empire. Con-

temporary commodity exchanges that cons-

titute the basis of our commodity Exchanges

in 1886, is began with the removal of the

Regulation. The first commodity exchange

was established December 14, 1891 in Izmir,

Konya in 1901 that, in 1913, Adana, Antalya in

1920, in 1924, Edirne, Bursa and Istanbul Com-

merce in 1925 and was followed by grain

exchange. Commodity exchanges, Law No.

5590 issued in 1950, which is presently in force

on 18 May 2004 adopted at the 5174 Union

of Chambers and Commodity Exchanges of

Turkey and has been replaced by Chambers

and Commodity Exchanges Act.

As of June 2014, 58 provinces in our country,

including 55 in the district centers are a total

of 113 trade exchanges. The tasks of the

exchange is determined by the Law No. 5174.

Those who deal or engaged with the sale

and purchase of stocks and commodities are

obliged to register. Resale according to de-

mocratic principles, on-site managed public

organizations.

What are the benefits of Commodity Exchan-

ge?

Major benefits of the exchanges are regis-

tering all transactions, responsibilities and

payments. Purchase and sale of agricultural

products and animal products in stock with

the registration formalization of the informal

economy is provided, so that the state’s

withholding of these products, KDV, and tax

loss and leakage are avoided. Fluctuations

in the markets and prices are stabilized and

marketing risks are reduced. Forecast can be

made and values are protected.

Commodity exchanges are also useful for the

producers because their produces can get

their real market values.

Can you tell us about Konya Commodity

Exchange?

Opened in 1901 by decree of Sultan Abdul

Hamid Khan, Konya Commodity Exchange

ceased its operations in 1914 during the Wor-

ld War I. On 24 October 1924 by the decree

no. 1041 it has become operational again.

Konya Commodity Exchange has led to the

establishment of other exchanges and ser-

vice network in Anatolia. Konya Commodity

Exchange one of the first stock exchanges

in the country has an important place in the

region’s economy. As known as breadbasket

of Konya, it is Turkey’s largest grain exchange

market. Konya Commodity Exchange, with

advanced infrastructure and specialized

staff members and continues to serve our

producers. Trading volume situated between

the highest stock Konya Commodity Exchan-

ge trading volume according to his breakth-

rough in 2012 with 35% increase to 9 billion in

2013, equivalent to about 300 thousand kg

and units rose to TL 7.5 billion.

There are 1489 active members in Konya

Commodity Exchange in the fields of Grain

processors, Live animal husbandry, Red

Carnivorous the hairers and leatherers, Seed

Growers, , dairy and food, including 10 occu-

pational groups with a Konya The products

traded in the exchange are; Grain Products,

Grains, Forage Crops, Cumin - Cumin - Cover

as various substances, Mohair - Wool as Tex-

tile Raw Materials, Live Animals Live Animal

Products, Raw Leather, Oil Seeds, Vegetable

Oils and fruit seeds. Konya Commodity Exc-

hange is managed by a 29-person council

and the seven-person board of directors.

What is the role of CE’s in Rural Development

and in industrialization?

The level of economic development in the

region is in line with he developments of

CE’s. Increasing transaction volumes every

year, along with their role in the formalization

of economic activities, contributing to rural

development and industrialization, trade and

more importantly makes the presence of

stock more important. However, in the global

economy, rapid changes in the context of

commodity exchanges, laboratory and sales

rooms themselves as technically strengthen

the agricultural productivity enhancement, in

terms of businesses, modern and specializa-

tion to allow scales to promote is important.

In this respect, the choice of trading stock

incentive measures to be taken, which will

increase the efficiency in the economy and

to integrate with the EU countries at the stage

will provide a positive contribution to the eco-

nomic development of our country.

With the implementation of Futures Markets,

will remove the pressure on manufacturers

and industrialists, these groups affected by

price fluctuations will be minimal. In addition,

the products at world prices evaluating the

forward-looking uncertainty disappearance,

hedging, rational production and consump-

tion planning, best price balance, trade

exchanges and more modern contemporary

conditions made available by the spot selling

stock, supporting commodity exchanges.

With the realization of the futures market is

fully competitive it will be an important step in

the direction of preparation for the future.

In this context, manufacturers need to

trade the stock market in terms of both the

country’s economy is extremely important.

Yours is the first exchange that started elect-

ronic sales transactions. Would you please

inform us about the date of transition to full

realization of the project and the amount of

sales you have achieved last season and this

year that you will reach and please give us

information about the amount of sales?

Agriculture in developed countries is also

began to be traded electronically. Thus, the

products brought to market value are traded

in an increasingly competitive environment.

For this purpose, which is a first in Turkey, Kon-

ya Commodity Exchange, Electronic Sales

Hall in opened with a ceremony on 18 May

2011 by the then Minister of Foreign Affairs

Prof. Ahmet Davutoglu, a Konyan in origin,

and who is now the Prime Minister. Thanks to

the confidence of the farmers and