Jakarta, 23 February 2022 - The domestic Commodity Exchange has a significant role in making Indonesia's leading commodities sovereign and able to compete in the global market. The presence of the Commodity Exchange is expected to facilitate fair, organized, transparent, and modern Commodity Futures Trading (PBK). PBK in Indonesia is regulated under Law No. 32/1997 as amended by Law No. 10/2011 and under the supervision of the Commodity Futures Trading Regulatory Agency (BAPPEBTI), which is a unit under the Indonesian Ministry of Trade.
"Throughout 2021, BAPPEBTI recorded that the total PBK transactions in the country reached 14.5 million lots, which was an increase of 10.3% from the previous year, 2020, which was 13.2 million lots. This year we are targeting a transaction value of up to IDR 200 trillion,” said Head of the Bureau Market Development, BAPPEBTI, Ministry of Trade, Tirta Karma Senjaya.
This shows the enormous potential of PBK in Indonesia. However, this great potential needs to be accompanied by good PBK education and literacy. Therefore, ICDX as one of the Commodity Exchanges in Indonesia initiated the Bursa Masa Kini campaign to provide an understanding to the public about the Commodity Exchange and the PBK industry and its benefits broadly.
“The Bursa Masa Kini Campaign is in line with ICDX's commitment to encouraging the growth of PBK in Indonesia, by increasing public awareness through various literacy and educational programs. We invite related parties from regulators, associations, brokers, and traders to collaborate in the Bursa Masa Kini campaign. Thus, it is hoped that more people will understand and feel safe transacting in PBK, which will further encourage the growth of PBK transactions and the movement of the country's economy," explained ICDX CEO, Lamon Rutten.
“ICDX itself has run education and literacy programs for the community, one of which has been running for three years is the trading class. The trading class is a debriefing effort for prospective customers who want to transact commodity and derivatives products in collaboration with brokers. Other programs, especially to millennials, namely the Young Traders Community, which is an introductory seminar to campus circles, then there is also the Commodity and Derivatives Interest Group which aims to provide material assistance and socialization," said Head of Learning Center ICDX, Anang E Wicaksono.
In addition to the Commodity Exchange, another PBK tool is the Indonesian Commodity Futures Trading Association or ASPEBTINDO which has an important role in providing education and modernizing the PBK industry so it can help the community avoid all forms of illegal trading practices that can harm customers and the Commodity Futures Trading industry.
“ASPEBTINDO in collaboration with BAPPEBTI and ICDX gathers participants of the Futures Broker Representative Professional Improvement Training Program (P4WPB) to be given training and debriefing first and after that, they are given practice questions which are a means of refreshing knowledge for prospective futures broker representatives (WPB). This is done to maintain the competence and feasibility of WPB as the frontline in communication to potential investors," said Chairman of ASPEBTINDO, Udi Margo Utomo.
In addition, ASPEBTINDO has prepared infrastructure, one of which is the utilization of the association's website as a source of information to assist BAPPEBTI and the stock exchange, so that customers can easily access valid and up-to-date information in forms that are easy to understand, especially for the current generation of millennial investors, such as in a form of video. Udi said that the PBK industry is increasingly in demand by the younger generation, which is also supported by the statement of ICDX CEO, Lamon Rutten who said that the number of ICDX millennial customers in 2021 grew 37%.
In line with the objectives of the Bursa Masa Kini campaign, the educational program provided by ASPEBTINDO is aimed at providing PBK knowledge and expertise to prospective Futures Broker Representatives as the spearhead in dealing directly with customers. On the other hand, to protect customers, the PBK industry is also equipped with the Commodity Futures Trading Arbitration Board (BAKTI).
Chairman of BAKTI, Kadjatni said, “The function of BAKTI itself is an arbitration institution that provides dispute resolution services outside the court through an arbitration mechanism. Especially for civil disputes regarding Commodity Futures Trading, Warehouse Receipt System, or other transactions regulated by BAPPEBTI.”
With the launch of the Bursa Masa Kini campaign, ICDX hopes that the public can see the integrity of the commodity futures trading industry, and all parties can collaborate to provide education and literacy, or in other forms of activities to advance and develop the PBK industry following the current market conditions. Furthermore, ICDX will continue to focus on bringing innovation and expanding the market so that Indonesia can compete in the future and be sovereign over its main commodities.