THE ELECTRONIC TRADING OF WAREHOUSE RECEIPTS ON GLOBAL AGRICULTURAL EXCHANGES. CONCLUSIONS FOR POLAND

Abstract

The aim of the study is to assess the use of Electronic Warehouse Receipt (EWR) as an instrument to support the trade of agricultural raw materials on global agricultural markets, to analyze the possibilities and potential of introducing this system in Poland, as well as to initiate a discussion on the restoration of the system of licensed storage and electronic warehouse receipt. Statistical data published by the Futures Industry Association and data obtained from commodity exchanges, as well as available literature, were used as source material. The analyses carried out show that a properly implemented EWR provides a proven solution to problems occurring in the food economy: the financing of current operating costs of running a farm and farm liquidity, and the financing of trade between participants in the supply chain. For a EWR system to be successful, it is necessary to understand the value chain, market and business environment. It is also important to assess risk, competitiveness, relationships and processes, justification and financing needs of chain participants. Thanks to this approach, a warehouse receipt can constitute loan security for all participants in the value chain, following the goods. Dematerialization of the warehouse receipt enables the takeover of trading in this document by a licensed exchange, and thus enables not only trading in a futures instrument, as on the CBOT or MATIF exchange, but also in a cash instrument with physical delivery, as on the TMEX or e-NAM exchange. The warehouse receipt system in Poland has been abolished, but the problems it solves remain. Taking into account the advantages of the warehouse receipt system, it should be restored in Poland to provide the agricultural sector with effective and proven solutions.

Keywords

• licenced warehouse
• warehouse receipt
• commodity exchange
• intermet trading platform
• cash commodity market