The Securities and Exchange Commission has expressed the need for more investments especially by the private sector in the commodities trading ecosystem.
Director General of the Securities and Exchange Commission, Mr. Lamido Yuguda stated this in Lagos during an interview on the recently commissioned 32 metric tonnes per hour Lagos Rice Mill in Imota, Ikorodu.
Yuguda stated that the capital market expects to see more private sector investments in areas that need to support the commodities ecosystem like storage facilities and also increased investment in mechanised farming in commodities like rice, hibiscus flowers and others that are in high demand in other parts of the world.
According to him, “This is a game changing investment in Lagos state and I hope we will see more of these kinds of investments not only in rice but in other areas of the food chain that we are currently producing. This is the place that produces them as we have the climate for these commodities, if we get the necessary investments, we will be able to make our mark around the world.
“This is a demonstration that Nigeria has what it takes in the agricultural sector to drive investment. This rice mill is already collaborating with one of our commodities exchanges as they are going to be trading the electronic receipts of this rice mill on the floor of the Lagos Commodities and Futures Exchange. This is a very important development in the commodities ecosystem”.
The SEC DG said the Commission expects to see more standards concluded between the Standards Organisation of Nigeria and SEC, adding that the adoption of these standards by commodities exchanges and other players in the commodities trading ecosystem would greatly boost activities in the sector.