GSCG is proud to announce the launch of its Market Platform As A Service to allow farmers, growers and producers across the globe the opportunity to utilise GSCG’s ground-breaking platform and its technology to launch their own organized tradable markets.
The size of the untraded commodities market is estimated to exceed $500 billion annually. These commodities remain untraded mainly because:
- total market sizes are typically not large enough to support global participation
- the commodities in question are niche
- only in demand in specific regions
Also often supply chains are typically not organized efficiently to guarantee timely deliveries.
So the untraded commodity markets face structural market issues that in turn result in critical imbalances in price discovery, and inefficiencies in supply chains that create obstacles for farmers to earn a consistent and fair income. End-users and producers similarly are unable to effectively plan their production costs and schedules due to price fluctuations and are subject to supply shortages respectively.
To help meet these challenges GSCG has developed an innovative new service named Market Platform As A Service (MPAAS) specifically catered for commodity markets which currently do not have access to price discovery mechanisms and related technology to support them.
GSCG will provide its Platform to provide access to a two-sided price discovery market which can be further supported (as needed) by a regulated futures exchange. The platform will mirror many of the functionalities offered on GSCG’s own proprietary trading platform, and will be highly scalable as well as adaptable to changing market conditions. This will create new opportunities for emerging commodity markets to thrive by creating a new centralized venue for price discovery, while simultaneously bringing liquidity to that market by being accessible to new market participants either regionally or globally.