Warsaw Commodity Exchange Article
High volatility of exchange rates on the world currency market has a direct bearing on the prices of raw materials for food in the world. This leads to a greater interest in seeking multinational or global currency units in order to protect against exchange risks in trade. This article presents a study of initiatives in continental and global introduction of currency units. It also makes an assessment of the index, World Currency Unit (WOCU) for suitability to stabilize the exchange rate volatility on agricultural commodity markets and agribusiness operators to stabilize income. The conclusions indicated that the index WOCU may be useful to exchange rate risk management in agricultural commodity trading, however, especially in the situation of trade relations with many countries of the world simultaneously.
The Warsaw Commodity Exchange is to make Wocu future prices when regulatory approval is obtained.
We have pleasure in attaching an article about prices in foodstuffs written by a Polish Market Practitioner Michal A Jerzak . A synopsis in English is above.