This is a model whereby we auction produce through reverse auction in real time. We peg our price from the highest offer and drop it to the lowest to allow participating buyers compete around the clock. FCM will also integrate its Auction with other national and international Commodity Exchanges.
Under this mode of trading, the FCM takes up offers from the buyers prior to the market day and for the specific volume. Upon agreement to the offer, the FCM gets to reserve the committed volumes especially where there is an advanced commitment by the buyer in form of payment.
These contracts occur when a buyer wants to commit to a specified volume of goods at a given price and period of collection on the following trading season. This contract volume is spread-out evenly amongst our farmer producers for easy supply of the commodity.