GMBS2 2834 : 286 | GMBS3 2591 : 137 | GMBS3 2755 : 145 | GMBS3 2651 : 140 | GMBSLG 2517 : 133 | LUBPAA1 1415 : 43 | LUBPAA2 1299 : 3 | LUBPAA3 1141 : 41 | LUBPAA4 1011 : 27 | LUBPAA5 931 : 27 | LUJM3 1000 : 61 | LUWL4 895 : 45 | LUWL5 857 : 27 | LWBP1 1517 : 0 | LWBP2 1495 : 4 | LWBP3 1532 : 102 | LWBP4 1260 : 61 | LWJM1 1180 : 28 | LWJM2 1080 : 73 | LWSD3 1325 : 106 | UBM8 990 : 10 | UBM9 965 : 5 | UGJQ1 1800 : 0 | UHRA4 2370 : 13 | UHRB5 2090 : 0 | UHRB6 1995 : 0 | UHRC5 2059 : 1 | UIB6 1123 : 2 | UIB6 1137 : 10 | UIB7 1070 : 1 | UJM6 1153 : 7 | UJM7 1070 : 0 | UKF4 1260 : 20 | UKF5 1210 : 11 | UKF6 1180 : 30 | UKF7 1110 : 34 | UKW3 1270 : 46 | UKW6 1213 : 4 | UYCAQ2 1700 : 27 | UYCB6 1350 : 10 | UYCB7 1240 : 4 | RWPA4 2360 : 140 | RWPA5 2350 : 130 | RWPALG 2330 : 97 | WHGS3 4000 : 2100 | WHGS3 4196 : 214 | WHGS4 4000 : 0 | WWSS3 4095 : 455 | WWSS5 4000 : 250 | WWSSUG 3000 : 87 | CRKCA2 1930 : 1930 | CRKCA3 1930 : 1930 | SBAS2 1610 : 39 | SBGJ2 1676 : 7 | SBGJ3 1660 : 10

ECX offers an integrated warehouse system from the receipt of commodities on the basis of industry accepted grades and standards for each traded commodity by type to the ultimate delivery. Commodities are deposited in warehouses operated by ECX in major surplus regions of the country. At the ECX warehouse, commodities are sampled, weighed and graded using state-of-the-art technology grading and weighing equipment. ECX warehouses issue an Electronic Goods Received Note and provide the depositor or his/her representative with a signed print copy. The Electronic Goods Received Notes are not negotiable, transferable or represent legal title to the deposited commodity. The depositor has to get Electronic Warehouse Receipt issued by the ECX Central Depository in order to establish legal title to the deposited commodity. The Deposited commodities are stored using global standards of inventory management which rely on First-In-First-Out principles, rotation, and careful environmental control. ECX Inventory Management system guarantees the quality and quantity of the commodity throughout the pre-determined period of storage. Further, ECX warehouses are insured at maximum coverage to protect against loss and damage of deposits. 

Services

ECX warehouses provide the following services:

  • Sampling, Grading, weighing and certifying of the grain, pulses, oil seeds and coffee coming to each warehouse using equipment provided by ECX according to ECX established standards
  • Weighing, receiving and issuing Electronic Goods Received Note which matches ECX automated system
  • Recording system for incoming and outgoing  commodities and daily stock position reports 
  • Proper handling of the commodity at the warehouse (store layout, stacking, bin no, inventory management)
  • Reporting system and formats for up-to-date information exchange between ECX and the area warehouses
  • Maintain the quality of received products.
  • Sell of standardized PP bags for grain, oil seeds and Pulses commodities
     
     
  • Location of ECX Warehouses

No

Location

Commodity Type

Ideal Capacity

Distance From Addis Ababa

Coffee

Grain

Quintals

KM

1

Addis Ababa(Saris)

x

 x

300,000

-

2

Dire Dawa

x

 x

58,000

515

3

Nazareth


x

50,000

90

4

Bure


x

100,000

410

5

Nekemte


x

150,000

330

6

Humera


x

350,000

988

7

Hawassa

x


215,000

273

8

Jimma

x


150,000

346

9

Bedelle

x


100,000

580

10

Dilla

x


115,000

390

11

Gimbi

x


165,000

450

12

Gondar


x

200,000

738

13

Metema


x

240,000

888

14

Assossa


x

50,000

685

15

Sodo

x


60,000

329

16

Bonga

x


140,000

450

17

Abrahajira 


x

190,000

939

18

Dansha


x

100,000

880

19

Shiraro


x

50,000

1,152

20

Pawe


x

320,000

562

21

Kombolcha 


x

100,000

369





ECX maintains a Central Depository or Registry of warehouse receipts which guarantee product integrity. The Electronic Goods Received Note issued at an ECX warehouse is a precondition for issuance of Electronic Warehouse Receipt by the ECX Central Depository. The ECX Central Depository is the sole entity authorized to and responsible for issuing Electronic Warehouse Receipts, printing copies of receipts, transferring legal title, and canceling receipts. The Electronic Warehouse Receipt issued by the ECX Central Depository represents legal title to the deposited commodity. The Electronic Warehouse Receipt is transferable and negotiable on ECX through the function of the ECX Central Depository. The Central Depository maintains separate accounts for every depositor. ECX is currently working towards introducing the use of Electronic Warehouse Receipts for the purposes of securing collateral finance or also known as inventory financing in the near future.

The Exchange Central Depository provides the following services:      * Create Electronic Warehouse Receipts;     * Maintain and edit required electronic warehouse receipt data;
     * Maintain a register of Depositors;
     * Effect settlement of contracts traded on the Exchange by transferring Electronic Warehouse Receipts between holders;
     * Issue Delivery Notices after transfer of Electronic Warehouse Receipt;
     * Void or cancel Electronic Warehouse Receipts;
     * Reconcile records daily


The Ethiopia Commodity Exchange (ECX) is a spot exchange established in Addis Ababa, Ethiopia. More than 200 different spot contracts are traded by the ECX members or their authorized representatives through open outcry trading system.

The Trading Floor-

The trading floor is an octagonal area where open outcry trading takes place. Operating during regular business hours, the ECX trading floor holds various sessions for transacting different commodity contracts.

Trades are made in the pits by bidding or offering a price and quantity of contracts, depending on the intention to buy (bid) or sell (offer).

This is generally done by using a physical representation of a trader's intentions with his hands. If a trader wants to buy ten contracts of grade 1 of Jimma A, at a price of three hundred, for example, in the floor he would yell " Jimma A1 at three hundred” , stating grade before price, and turn his palm inward toward his face. If the trader wants to sell the same, he will yell the same quote, and show one hand with the palm facing outward. The combination of hand-signals and vocal representation between the way a trader expresses bids and offers is a protection against misinterpretation by other market participants

Trading system

Transaction orders for sales and purchases in standard lot sizes of standardized commodity grades (referred to as contracts) are recorded on Order Tickets. The ECX automated back office system ensures the existence and validity of the Warehouse Receipt backing the sale, the availability of buyer funds in a deposit account, and where applicable the validity of the Member-Client agreement. This automated reconciliation takes just minutes and is key to giving all market players confidence in the market.
 
 Trading sessions-

 No.

Session Namexml:namespace prefix = o />

Days

Starts

Ends

1

Grains

Wednesday

9.00 AM

9.30 AM

2

Sesame

Daily

10.00 AM

11.00 AM

3

Local Coffee

Tuesday, Wednesday, Thursday

11.30 AM

12.30 PM

4

Export coffee

Daily

2.00 PM

6.00 PM




ECX’s zero default, fast and efficient Clearing and Settlement department assumes Central Counter Party (CCP) risk for all members trades. It establishes the net obligations of each member, informs the members of their daily net obligations and transfers cash funds and commodity ownership among members. Commodity ownership is primarily transferred by Central Depository of the Exchange while conducting title transfer for cash and commodity every next day after trade.

The Settlement Transactions

Balance Enquiry on Pay-in accounts
 10:00AM on the day of trading (for afternoon Trading)
 04:00PM on day before Trading (T-1)
 Member Pay-In (to ECX)
 08:00–09:00 next working day (T+1)
 Member Pay-Out (from ECX)
 11:00-12:00 next working day (T+1)


Banks and Branches

Currently ECX is working with sixteen settlement banks. These banks have dedicated ECX settlement team in their Head Office:

Commercial Bank of Ethiopia (CBE)
 Dashen Bank S.C
 Awash International Bank S.C
 United Bank S.C
 NIB International Bank S.C.
 Wegagen Bank S.C.
 Bank of Abyssinia S.C.
 Oromia International Bank S.C.
 Lion International Bank S.C.
 Construction & Business Bank S.C.
 Cooperative Bank of Oromia S.C.
 Buna international bank

 Birhan international bank

 Abay Bank

 ENAT Bank 

All ECX accounts MUST be in a networked branch.




The Compliance Division is responsible for formulating and enforcing the Rules of the Exchange and all other relevant laws affecting the operation of the Exchange. To achieve this broad objective, the Rules of the Exchange establish four separate units with specific mandates. These are: (1) Rules and Regulations; (2) Compliance Monitoring and Investigation; (3) Discipline and Enforcement; and (4) Arbitration Tribunal. The Compliance Division also serves the official liaison with all local and international regulatory bodies and provides overall legal counsel to divisions of the Exchange on the proper and sound operation of the Exchange.


 Rules and Regulations Unit: The Rules and Regulations Unite (“RRU”) is responsible for the drafting of Rules of the Exchange; the research and analysis of regulatory issues requiring new rules and regulations; the amending of the existing rules based on feedbacks received from members, customers and other stakeholders; and the interpretation of the Rules of the Exchange.


 Compliance Monitoring and Investigation Unit: The Compliance Monitoring and Investigation Unit (“CMIU”) is responsible for overseeing that compliance is maintained with the relevant law of the Exchange, Rules and policies of the Exchange, and Directives of the Ethiopia Commodities Exchange Authority at all levels the Exchange’s operations; conducting and coordinating investigations of violations of the Rules of the Exchange, the Authority’s Directive and other pertinent laws. The CMIU is also responsible for the reviewing of membership applications for compliance with the applicable laws of the Exchange and the Authority, the conducting of on-site Member visits, the inspection of Member books and accounts, and the monitoring and reviewing of Members’ annual and other regular compliance reports.


 Discipline and Enforcement Unit: The Discipline and Enforcement Unit (“DEU”) is responsible for enforcing the Rules of Exchange and other pertinent laws through a disciplinary rules enforcement mechanism. The DEU works closely with the Authority and relevant law enforcement agencies to protect the integrity of the Exchange’s price discovery Mechanism as well.


 Arbitration Tribunal: The Arbitration Unite (“ABU”) is responsible for facilitating the resolution of disputes between Members or Members and the Exchange during the course of trading at the Exchange. The Exchange has two types of alternative dispute resolution mechanisms: (1) Expert Determination: a grade dispute resolution mechanism for Quality disputes between the Exchange and its members, and (2) Trade disputes between members inter se, and between members and their clients