Trade on Mercantile
(Commodity) Exchanges

Commodity exchange
 Types and functions
Exchange trade is the oldest
organizational form of world trade
which originates in XVI-XVII
centuries in Europe and in century
- in America.
Now the largest international
centres of exchange trade are
concentrated in the USA, England, Japan. By the end of XX century was
about 50 commodity exchanges with
the general turnover more above 10
billion dollars, on them it was realised
over 60 names of the goods.
Commodity exchanges represent
constantly operating markets which are
engaged in the special form of wholesale
trade by the goods, possessing
(проходить, обладает, располагает)
certain characteristics, namely: in the
big weights (большие массы) of the
homogeneous (однородный) and easily
interchangeable (заменимый) goods
having steady (stable) and accurate
(clear) qualitative parameters.
This association of sellers, buyers and
dealers-intermediaries for the purpose
of conditions creation for trade,
simplification (облегчения),
acceleration (speeding-up) and
reduction in price of trading agreements
and operations.
 Thus, the international commodity exchange
(МТБ) is understood as association legal and
physical persons with the rights of the legal
person, forming the wholesale market by the
organisation and regulation of the exchange
trade which is carried out in the form of the
public public auctions, spent in advance certain
place and during certain time by the rules
installed by it where the prices for the goods are
defined by a free competition.
Transactions consist in the cash
goods with immediate delivery or
with its delivery during an installed
date (till 14 months). Members of a
stock exchange can be as
intermediary (broker, trading) firms,
and banking establishments, the
investment companies, separate
citizens.
Commodity exchanges
basically function as the
profitless associations
exempted from payment of
corporate income tax
(корпоративный
подоходный налог).
Main articles of their income are,
promotional both shares and
deductions of the organisations
forming a stock exchange;
incomes of granting of services to
members of a stock exchange
and other organisations, a gain
from other receipts
 All goods addressing at a stock exchange can be divided
conditionally on two groups, the first is made by
agricultural products where the most part is necessary
on seeds oil (масленичная) cultures Into the same
group involve animal industries production, sugar,
coffee, cocoa-beans, saw-timbers.
 The second group - industrial raw materials and
production of its reprocessing. Energy carriers, precious
and nonferrous metals here enter.
 It is necessary to notice, that on a commodity exchange
together with contracts on the usual goods contracts on
securities, including the state bonds, actions of jointstock banks, actions of industrial joint-stock companies,
depositary bank certificates address.