On 3 June 2021, the Moscow Exchange and United Grain Company (UGC) signed an agreement to develop an exchange market for agricultural products that will improve the settlement and delivery infrastructure. This joint development will also increase the attractiveness and popularisation of the on-exchange commodity market among agricultural producers, grain exporters and grain traders.
Moscow Exchange CEO Yury Denisov and United Grain Company CEO Dmitry Sergeev both attended the official signing ceremony, held at the St. Petersburg International Economic Forum (SPIEF).
Yury Denisov, CEO of Moscow Exchange, said:
"Moscow Exchange has many years of positive experience in partnering with United Grain Company in state grain market interventions. Today, our companies have made official their intention to continue collaborating to develop an organised market for agricultural products in Russia, drawing on our expertise in exchange technologies and the experience and capabilities of United Grain Company as an infrastructure company for the Russian grain market. Our common goal is to build a transparent, competitive and widely accessible exchange market for agricultural products."
Dmitry Sergeev, CEO of United Grain Company, said:
"The introduction of on-exchange instruments in our trading and purchasing activities is part of our planned work on the grain market. Moscow Exchange is our long-term partner, so I am confident that this cooperation will not only contribute to the development of Russia's agricultural products exchange market, settlement and delivery infrastructure, but will also play a major role in increasing the attractiveness and popularisation of exchange instruments among agricultural producers, grain exporters and grain traders."
United Grain Company Joint Stock Company is an agricultural trade and logistics operator that ensures the export potential of Russian grain on the global market and carries out trade and procurement activities on the domestic grain market as part of the national food security and agricultural support programme in Russia.
It is the only Russian infrastructure company with state interest on the agricultural products market.
Moscow Exchange Group operates Russia’s main trading platform for equities, bonds, derivative instruments, currencies, money market instruments and commodities. The Group includes the central securities depository (National Settlement Depository), and a clearing center (National Clearing Centre), performing the functions of central counterparty on the markets, which allows Moscow Exchange to offer its clients the full spectrum of trading and post-trading services.
