The year 2023 has recorded many major changes for the economy in general and the world commodity market in particular. The MXV-Index commodity index ended the year down 13%, but there were many commodities moving more than 30%. In Vietnam, commodity trading activities with the world are still smooth and stable, a bright spot in trade and investment activities in the past year.

Trading activity is on the rise

According to the 2023 Year-End Summary report of the Vietnam Commodity Exchange (MXV), the transaction value at MXV reached an average of more than 4,000 billion VND per day, including some days reaching nearly 10,000 billion VND. After a slight decline in the first quarter of 2023, trading volume at MXV recovered and stabilized in the second half of the year.

By the end of 2023, the entire market has nearly 30,000 active trading accounts, an increase of 20% compared to last year. Mr. Dang Viet Hung, General Director of MXV said: "Basically, international trading activities have become stable and smooth, without any problems in 2023. The market will continue to continue to spread and develop according to the inevitable trend of the world.

Currently, MXV is listing and trading 45 products linked to most of the largest commodity exchanges in the world, divided into 4 groups: Agricultural Products, Energy, Metals and Industrial Raw Materials.

Since June 2023, MXV has listed commodity options contracts for trading. After more than 6 months of implementation, the options contract has received great attention from domestic businesses and investors, demonstrated by the steady growth in trading volume each month. "Option products traded at MXV have high liquidity, helping businesses have more effective price hedging tools, while also helping investors diversify their investment portfolios," said Mr. Dang Viet Hung added.

Build specialized commodity trading floors

In addition to the goal of developing transaction scale, in 2023, MXV has focused on researching and creating the foundation for building specialized commodity trading floors for Vietnam's strong products. This is one of MXV's key plans in the period 2023 - 2028, helping to develop the commodity trading market in Vietnam according to international standards.

“Specialized commodity exchanges will help solve many problems for each specific commodity. But overall, it will help Vietnam's production and trade activities become transparent and modern, creating a premise for breakthrough development in the future," Mr. Dang Viet Hung affirmed.

After a long period of research and cooperation, MXV and Vietnam Rubber Industry Group have reached the testing phase of the Vietnam Rubber Exchange system. The Rubber Exchange will help make trading prices transparent and public; help businesses expand and create more connections in the industry; Improve reputation and quality of Vietnamese rubber products. Modern, fast and accurate trading methods will gradually help the domestic rubber market keep pace with the development of the world market.

Also in 2023, the working group of the global non-profit organization Dubai Chambers came to Vietnam, visited and worked at MXV. Previously, the two sides had many positive working sessions, aiming to build a Coffee Exchange of international scale and standards. As the world's largest exporter of Robusta coffee, building a Coffee Exchange is an inevitable trend of the Vietnamese market, which will support farmers and businesses to be proactive in production activities. and export.

In vision 2050, green shift will be the trend of the world economy. At the Climate Change Summit held within the framework of COP26, Prime Minister Pham Minh Chinh committed that Vietnam will achieve net zero emissions by 2050. In this process, the Floor Carbon credit trading will play a very important role, helping connect buyers and sellers together. MXV has been researching to build a Carbon Credit Exchange consistent with reality in Vietnam, to bring the highest benefits to market participants.

In addition, since August 2023, MXV has coordinated with the Department of Industry and Trade, the Department of Agriculture and Rural Development, and other departments in Ho Chi Minh City to build the Ho Chi Minh City Pork Trading Floor. Mr. Dang Viet Hung said: "This Trading Floor model with modern technology and operations is expected to help both farmers and consumers avoid price manipulation and their rights are protected; Food hygiene and safety quality is improved. At the same time, the scale of the city's livestock industry. Ho Chi Minh will step by step go deeper."

Big goals in 2024

Since Decree 51/2018/ND-CP, the commodity trading market has had encouraging developments, recognized by state management agencies; domestic businesses and investors; and international organizations. However, according to the development process of the Vietnamese market, along with the constant changes in the world market, in 2024, MXV will coordinate with the Ministry of Industry and Trade and relevant agencies to develop a Decree. new, replacing Decree 158/2006/ND-CP and Decree 51/2018/ND-CP to complete the legal framework, helping the commodity trading market in Vietnam develop stably and sustainably.

"This will be a premise to help the commodity trading market in Vietnam develop stably and sustainably, helping to raise Vietnam's position on the world commodity trading map," Mr. Dang Viet Hung affirmed.

In addition, MXV will continue to promote domestic and international cooperation, focusing on Commodity Exchanges and major technology partners in the world. According to the plan, in the first quarter of 2024, MXV will complete the transaction connection with Commodity Exchanges in China, moving towards the goal of cross-listing trading products. Besides, connecting with the billion-people market will open up unprecedented opportunities for domestic businesses and investors to optimize efficiency in insurance and investment operations.

MXV will actively coordinate with partners to gradually put specialized commodity exchanges into operation. It is expected that in 2024, the Rubber Trading Floors and Ho Chi Minh City Pork Trading Floors will initially come into operation. The Coffee and Carbon Credit Exchanges are expected to be operational by 2025.

With a history of more than 13 years of formation and development, MXV has been the leader of the commodity trading market in Vietnam. In the context of many traditional investment channels showing signs of slowing down, commodity trading is a bright spot in commercial activities in particular and in the Vietnamese economy in general. Strengthening comprehensive international cooperation in many fields: trading, information technology, training, communication... will help elevate Vietnam's position on the world commodity trading map, contributing to the process of the country's economic integration process.

Source: MXV