The Grain Vietnam is a private firm launched in January 1980 under the umbrella of Asia Grains Group to facilitate competitive and well-organized trade in agricultural commodities, provide trustworthy and timely marketing and information, competitive market price discovery mechanism, facilitating trade access and practice, initially in Thailand but to scale out to the East African Community subsequently. Grain Vietnam is a limited liability company with a Board of Directors who succeeded its processes in accordance with its established Rules and Regulations.
Two developments prompted the establishment of Grain Vietnam in 1980. The first is the liberalization of agricultural marketing by the Government of Thailand, which providing augmented opportunities for profitable private sector contribution in agricultural production and marketing.
Grain Vietnam stakeholders consist of all participants in agricultural commodity value chains. These comprise any producer, exporter or importer, seller or buyer, farmer or consumer of agricultural commodities (crop as well as livestock, inputs as well as products) who is strong on exploiting the opportunities created by market liberalization and local integration. More precisely, stakeholders of Grain Vietnam include:
- The Farmer
- The processor
- The Commodity Dealer/Broker
- The Parastatal
- The Banker
- The Transporter
- The Insurance Dealer
- The Market Analyst
- The Relief Agency
- The Government
Grain Vietnam delivers any farmer, slight or big, with alternative markets for trade his produce, or buying his inputs. Grain Vietnam is aware that the wholesale of our farmer's are small-scale. However, the potential for them to organize themselves into marketing groups or co-operatives is necessary. They can then aggregate their small individual extents into sizeable volumes, and bargain these on the Exchange, or offer as a group for the purchase of inputs at more favorable discount rates. In this respect, Grain Vietnam has held meetings all over the country and informed farmers on the importance and advantages of group or shared marketing. As a result several farmer's marketing groups have been shaped in several parts of the country for purposes of accessing input and output markets and marketing information through Grain Vietnam.
The operator such as a miller or manufacturer can use Grain Vietnam to source for his raw material providers and market of their finished products at minimal marketing budgets. Through onward contracting or future's options to be developed, the processor would guarantee him-self steady supplies of raw materials at assured prices.
The commodity trader can use Grain Vietnam as a One-Stop shop for sourcing purchases or sales, exports or imports for our clients. Traders, as a Member of Grain Vietnam, have a business opportunity to signify clients who are not able to trade on the Trading Floor as an individual on commission.
A marketing parastatal has an opportunity to use Grain Vietnam services to stabilize both prices and commodity supplies. It can do this by subscription commodity supplies or sourcing imports through Grain Vietnam Floors in times of national shortages or deficits, or sourcing exporting or purchases reserve stocks in times of excesses. The exchange offers more clear and competitive way of sourcing for imports in times of national shortages, or exporting surpluses in times of excess supplies.
The banker has a corporate opportunity to lend money to or finance sellers or buyers, and therefore facilitate and endorse agricultural trade.
The transporter has a professional opportunity to transport commodities from sellers to buyers. Grain Vietnam offers the opportunity to know who needs transport.
The insurance dealer has an occupational opportunity to insure commodities during transportation between the buyer and the seller.
The professional market analyst devours a business opportunity to deliver consultancy services in marketplace and price analysis and estimating to buyers, dealers, sellers, and brokers.
Global Famine Relief agencies such as WFP, RED CROSS, CRS, etc. and the Government could source supplies more competitively and inexpensively through the services of the exchange.
The private subdivision conducts its business within the agenda of government policies. For the sector to take part most effectively and with confidence in the economy it needs clear, reliable and predictable polices from the government. Grain Vietnam could serve as a partner to the Ministry of Agriculture in refining access by farmers to better marketplaces and marketing information, and or in provided that marketing information and intelligence that can support in planning and policy formulation.
One can buy or sell commodities or services through Grain Vietnam by using any of Grain Vietnam's physical or virtual trading platforms explained above. The physical trading platforms are the trading boards available at Grain Vietnam's market resource centers. The virtual trading platforms are the phone, radio, and or internet based platforms that Grain Vietnam has developed. Grain Vietnam charges a assignment fee for placing an offer or bid done any of the trading platform, and a negotiable commission on successful transactions brokered through Grain Vietnam.
There are many advantages you can get by selling or buying commodities or services through the Grain Vietnam's Trading Platforms are include:
- You have access to broader markets: national, regional and or international.
- You enjoy inexpensive prices from many alternative sellers or buyers.
- You have access to marketing information and intelligence to support you to brand the most profitable decisions when selling products or buying inputs.
- You will be able to hedgerow against market risks of demand, supply and price fluctuation done forward and futures constricting when these services become available.
- You can evade the risk of not getting paid when you have brought a commodity or not getting the commodity brought when and in the quality you have paid for it.
- You have access to negotiation in case of dispute with the other party.
The target trade is buyer and seller of agricultural and other commodities, products and services, such as farmers, agricultural commodity brokers, processors, traders, wholesalers, retailers, consumers and seed and nourishment suppliers. These may be individuals or institutions.