News | Ghana Commodity Exchange

GHANA COMMODITY EXCHANGE SIGNS MEMORANDUM OF UNDERSTANDING WITH TAFT GROUP GHANA

Date : 28th May, 2019


GHANA COMMODITY EXCHANGE SIGNS MEMORANDUM OF UNDERSTANDING WITH TAFT GROUP GHANA image


GHANA COMMODITY EXCHANGE SIGNS MEMORANDUM OF UNDERSTANDING WITH TAFT GROUP GHANA

 

The Ghana Commodity Exchange (GCX), on Monday 20th May 2019 signed a Memorandum of Understanding with Taft Group of companies, led by Taft Capital, as part of the Exchange’s mandate to transform Ghana’s Agriculture sector.

Per the agreement Taft Group seeks to provide the Exchange with innovative solutions through ICT, access to markets, Warehousing, Logistics, and Funding.

The MOU sees the two organisations collaborating to enhance the performance of the commodity value chain in Ghana, with Taft — a key player in the Agribusiness sector — committing to provide GCX with the necessary tools to develop the West African country’s Agribusiness sector.

With the agreement in place, Taft, which brings to the table, Movelle (a commodity trading company), MRL (a logistics and commercial real estate company), AgNexus (a Fintech and Agtech company) and Agridemy (an innovative capacity building organisation), will assist GCX raise funds, including patient capital and grants.

The raft of services Taft will provide through its affiliates for various GCX projects and activities include the provision of logistical solutions for the management of products from farm gate to GCX delivery centres and warehouses to complement the Exchange’s work in providing this much needed access to secured storage.

Taft supports GCX’s efforts to transform Ghana and African agriculture by increasing the bargaining power of smallholder farmers.

Taft has committed to deploy an IT platform, which includes a feature that connects farmers to financing facilities and provides them with lending credit.

This will be done by using AgNexus proprietary software, which collects data from farmers and co-operatives. Taft will also assign a credit rating to individual farmers that allows them to attain commercial capital without needing to sell their product at lower prices during the early post-harvest phase.

In line with GCX’s aim to increase farmers’ bargaining power and share of created value, while ensuring integrity and transparency of trade, the MOU will see the two parties come together to promote transparency and the increased penetration of credit and agricultural finance to enable the Ghana Commodity Exchange and Taft reach shared objectives

The Ghana Commodity Exchange (GCX) is a private company limited by shares, which acts as a regulated market that links buyers and sellers of commodities to trade by rules while we assure the market quality and quantity, timely delivery and settlement. The aim of the exchange is to establish linkage between agricultural and commodity producers and buyers, to secure competitive prices for their products, assuring the market quantity and quality as well as timely settlement of their trade.