Bat-Uul said herders
wanting to sell 10 or 20 sheep would not get a fair price in an exchange market
where the demand was for two million sheep. The small supplier has to be
protected against big traders. B.Batbayar differed and said the exchange would
benefit all, including those with just two or more animals to sell.


All transactions will be electronic and many MPs doubted how effective this
would be in soums in the countryside. Some training is planned for those who
will run the exchange in the capital. Some MPs recalled how similar agricultural
raw material markets had failed in the 1990s because they did not have enough storage
facilities.


Members felt proper hygienic certification was needed to increase export of Mongolian
livestock products and were told of plans to build a proper laboratory.


Ts.Shinebayar wanted clear provisions suggesting steps against those violating
the exchange regulations and wanted a time table to be indicated for the market
to be operational.


The draft says the market will be set up with state budget financing and
privatized after some time but there is no indication when this will be. Some
MPs also expressed doubt that warehouses built with state funds in the
countryside would be of much use.