08/04/2026, 11:36

Description of claim updated and refined for better clarity and understanding


New petition description:

WePetition to the JSE Board of Directors

We, the undersigned producers, market participants and concerned South Africans, call on the JSE to reconsidersuspend itsthe decisionimplementation toof rejectthe proposed single soybean reference point and complete a transparent, evidence-based review of the soybean Multiple Reference PointPoints model andbefore to introduce the Driefontein area as theany new singlemethodology referenceis point.implemented.

The JSE shouldCommodity adoptDerivatives Market plays an important role in transparent price discovery and price-risk management for the grain market in South and Southern Africa. For that reason, the soybean location-differential methodology must be trusted by all participants, including producers, processors, traders, brokers and end-users.

We recognise that the JSE must ensure that any futures-contract specification is transparent, auditable, replicable, operationally practical and consistent with its role as a fairlicensed exchange.

However, we are concerned that the decision to discontinue the MRP model and efficientmove price-discoveryto systema that considers the actual flow of grain, regional supply and demand, and the locations where soybeans are produced and consumed. A system based mainly on the distance from onesingle reference point mayhas, createamongst transportother deductionsfactors, not yet been supported by a sufficiently transparent, criterion-by-criterion public explanation against the evaluation framework established for the pilot. The pilot criteria included trading volumes and open interest, active market participation, stock build-up in zero-differential areas, redelivery of JSE silo receipts, and formal market-participant feedback.

The JSE acknowledged that dotrading volumes, open interest and physical deliveries improved during the pilot period, but concluded that these improvements were caused by external market conditions and not reflectby actualthe grainMRP movementsmodel. Grain SA has requested disclosure of the quantitative analysis, methodology, data and couldweighting addused unnecessaryto costsreach throughoutthat theconclusion. valueA chain.decision with long-term implications for price discovery, producer income and market confidence should be supported by clear evidence that affected participants can understand and interrogate.

We therefore askcall on the JSE to:

1. Suspend the implementation of the proposed single reference point whilepending a transparent review.
2. Publish or provide to affected stakeholders the matterquantitative isassessment reviewed;Evaluateused to evaluate the MultipleMRP Referencepilot Pointagainst each of the original criteria.
3. Explain the methodology used to distinguish the effect of the MRP model againstfrom external market conditions.
4. Reconvene the criteriaappropriate thetechnical JSE established for the pilot;Support its assessment with clear, quantitative evidence;Consult formallyprocess with Grain SA, soybean producersproducers, technical experts and relevant technicalmarket experts;participants before final implementation.
5. Investigate data-governance solutions that would allow confidential, aggregated or independently verified supply, demand and crushing information to be used without disclosing commercially sensitive company-level data.
6. Assess the regional financial impact of the proposed systemsingle reference point on producers inacross all soybean-producing regions;areas before implementation.
7. Consider a modified MRP or hybrid model that directly addresses the JSE’s concerns about transparency, replicability, auditability, simplicity and market confidence.
Implement

This petition does not ask the JSE to regulate the cash market or to grant preferential treatment to producers. The JSE has stated that its decisions are limited to the regulation of its exchange and have no force or effect in the cash market. Our request is that the JSE’s own soybean futures-contract methodology should be developed through a fair, transparent and evidence-based process that reflects physical-market realities as far as reasonably possible.

A single reference point may be simpler, but simplicity alone should not be the only test. A credible methodology should also reflect actual grain flows, regional supply and demand, delivery economics and the realities of a geographically diverse soybean industry. Grain SA has raised the concern that a single-reference-point methodology will impose deductions disconnected from physical-market realities and will create regional distortions where producers near active crushing or consumption areas are still priced against a distant national reference point.

We support a soybean price-discovery system that betteris reflectstransparent, actualcredible, graintechnically flowsdefensible, auditable, practical and improves the efficiency and transparency of the market.The purpose of this petition is notfair to seek preferential treatment for producers. It is to ensure that the soybean pricing system reflectsall market realitiesparticipants. and does not impose unnecessary costs on producers, consumers or other participants in the value chain.By signing this petition, we support Grain SA’s call for athe transparent,JSE to suspend implementation, complete the agreed evidence-based review and for the JSE to implementadopt a fairermethodology that improves market confidence, market efficiency and morelong-term efficient soybean price-discovery system.sustainability.