FoodTrade ESA is currently implementing a series of studies in understanding the structured grain market systems in the region with the aim of informing policy formulation and implementation in the region. So far the programme has concluded studies in the establishment of Commodity Exchanges in the region which highlights the key prerequisites for ensuring their success. Among the key prerequisites for success include: liberal trade policy regime, private sector ownership, efficient warehousing and logistics systems which encourage small farmers to access the system.

FoodTrade ESA has since held a number of public-private dialogues on the establishment of Commodity Exchanges in the region and in particular in Tanzania influencing governments’ actions in the sector. Further to this, FoodTrade has also supported a study tour by Tanzanian government officials to have a practical experience of the operations of Commodity Exchanges at the Johannesburg Stock Exchange in South Africa. A parliamentary seminar has been held on the matter and Government of Tanzania has now agreed to allow the private sector to take leadership in the set-up and roll-out of the commodity exchange.