Belarusian Universal Commodity Exchange
Belarusian Universal Commodity Exchange OJSC (BUCE) is one of the leading companies of the Republic of Belarus that aims to render support to export activities of Belarusian companies and help foreign companies to enter Belarusian market.
BUCE is one of the largest commodity exchanges (in the spot market) in Eastern Europe that provides its clients with an electronic trading platform to perform selling and purchasing of commodities online from anywhere in the world. Exchange turnover in 2013 amounted to more than USD 1.7 billion. At the moment the BUCE client base includes around 13 000 companies from 57 countries.
In particular, 15 companies from the Netherlands were accredited at BUCE in 2013, the volumes of the exchange transactions completed by Dutch companies reached more than USD 17 mln during 2010-2013.
For 8 years in operation BUCE has gained an extensive experience in the field of wholesale trade in Belarus and carried out a substantial work in embedding IT technologies into the exchange trade.
BUCE’s exchange auctions cover the following commodities:
- metal products section: ferrous and non-ferrous metals, scrap-iron and wastes of ferrous and non-ferrous metals, coal, coke, cable, conductor products, etc.;
- timber products section: round wood, sawn timber, wood boards, plywood, paper, paperboard, fuel peat briquettes, fuel granules, etc.;
- agricultural products section: dried milk, casein, butter, cheese, whey, curds, sunflower and soy-bean meal, rapeseed oil and rape seeds, tanning materials, cotton yarn, rye flour, meat, etc.
BUCE also holds exchange auctions with futures contracts for hot-rolled round steel.
Electronic auctions with industrial and consumer goods
Along with organization of traditional exchange auctions in the sections (product groups) of metal, timber and agricultural products, a section of industrial and consumer goods has been in operation at BUCE since May 2009.
The electronic subsystem of auctions with industrial and consumer goods works on-line around the clock and allows to sell and buy goods of the widest range from anywhere in the world where there is the Internet, both with the help of a special purpose software or an interface of an Internet browser.
A distinctive feature of this trading subsystem is a possibility to place additional textual and graphical information about the product in the application.
Electronic auctions for public procurement
Belarusian legislation provides for mandatory use of electronic auctions for public procurement, as well as purchases at their own expense by state enterprises of the predominant majority of goods (works, services). One of the operators of electronic trading platforms that have the right to conduct electronic auctions in the Republic of Belarus is Belarusian Universal Commodity Exchange OJSC.
BUCE offers its clients to conclude transactions simultaneously with receipt of a range of warehouse and freight forwarding services with secured control over the quantity and quality of purchased goods.
Today the exchange logistics encompasses 29 exchange warehouses in Belarus, Russia, Kazakhstan, Poland, Germany, Lithuania, Latvia, Estonia, Bulgaria and other countries, 6 exchange carriers, 8 exchange experts.
For the purpose of effective monitoring and objective analysis of the situation on the exchange markets of the Republic of Belarus and abroad, BUCE markets a number of information and analytical products that, due to the high concentration of supply and demand, reflect the market condition and provide guidance to market participants when they conclude transactions.
BUCE is a member of the International Association of Exchanges of the CIS Countries (IAE CIS), the Interexchange Electronic Union (IEU), and the Association of Futures Markets (AFM), membership in which contributes to strengthening of international co-operation relations and empowerment of Belarusian companies to find prospective trade partners abroad and expand into new markets.
In 2010 BUCE opened a representative office in Russia. Representatives of BUCE also work in Lithuania, Latvia, South Africa, Bulgaria, and China.
Benefits of trade with Belarus through the BUCE:
- Large range of commodities – more than 3000 commodities are traded though BUCE.
- Formation of competitive conditions for buyers and sellers – about 13000 companies from the Republic of Belarus and 56 foreign countries participate in the exchange auctions.
- Simple search for potential suppliers and consumers of goods – during the exchange trade a company avoids costly search for contractors.
- Favorable conditions for accreditation – accredited companies pay only exchange fees depending on the amount of transactions (accreditation and training are free of charge).
- Electronic trade via the Internet – foreign clients have an opportunity to take part in auctions from any country of the world.
- Expertise and logistic services – BUCE has signed co-operation agreements with independent expert organizations to enable our customers to use their services and obtain expert examinations if necessary and leading transport companies to ensure high-quality transportation of goods purchased at exchange auctions.
- Price quotation – concentration of demand and supply allows exchange quotation to reflect market situation and be guide for the wholesale market participants.
To become a member of auctions one should:
1. Get accredited;
2. Acquire a digital signature;
3. Submit an application (prepared in the prescribed form) on the Internet to buy/sell exchange goods;
4. Take part in the auctions at the central office of the Exchange, its branch offices or via the Internet.
Participation in the exchange auctions can be independent or with the help of an exchange broker – a member of the exchange trade, who provides clients with brokerage services on exchange auctions.