DISCUSSION HELD ON OPEN ONLINE TRADE OF COAL EXPORT
Within the framework of the Procedures of Open Online Trade of Export Coal - approved by the Government of Mongolia - the Financial Regulatory Commission (FRC) organized a meeting and discussion on the same topic with the Ministry of Mining and Heavy Industry and the Mongolian Stock Exchange (MSE) on 27 February 2023. The objectives of this meeting were to:
- organize online trading of coal in an open, transparent manner,
- ensure the equal rights of participants,
- establish real market prices, and
- create conditions for the real, accurate, and prompt delivery of commercial information to sellers, buyers, and other participants.
Those attending the meeting and discussion included:
- Mr J.Ganbaatar (Minister of Mining and Heavy Industry),
- Mrs Kh. Bulgantuya (Chairman of the State Committee for Port Revitalization), and
- Mr T.Tserenbadral (Vice-Chairman, FRC).
In his opening remarks Mr Tserenbadral indicated that the Parliament of Mongolia aims to:
- develop transparent and responsible mining and value-added production,
- implement the principle of fair distribution of resources, conduct the sale of mineral products on the foreign and domestic markets in an open, rational, highly efficient manner (that conforms to market principles), and
- set fair prices and policies and directions are being worked on.
One of the major works being done in this context is the adoption of the Mining Products Exchange Law which come into effect on 1 July, 2023. Coal trading is currently being conducted in accordance with the regulation of Procedures of Open Online Trade of Coal Export, approved by the government in December of 2022. In January 2022, the FRC approved the Control Procedures for Open Online Trade of Export Coal in cooperation with the Ministry of Economy and Development, the Ministry of Finance, and the Ministry of Mining and Heavy Industry. In this way, the trade of mining products will be organized in a fair and transparent manner; and it is important for the creation of a mining products exchange.
Representatives of more than 200 enterprises and organizations participated in the meeting in person, while the relevant employees of more than 80 enterprises participated online. Detailed information received by participants included:
- rules and instructions related to the stock exchange and coal trading,
- how to participate in call trading, and
- how to conclude contracts, and settlements.