Last week Ethiopia traded coffee through a new electronic system at its commodity exchange for the first time.

The development will introduce more reliable trade and increased export competitiveness for the coffee industry, according to the director of the Ethiopian Commodity Exchange (ECX) Eleni Gebremedhin.

To participate in the electronic trade, coffee sellers are required to produce warehouse receipts and buyers must show a pre-trade deposit in banks.

The government says trading coffee through the exchange will help small farmers get a better price for their beans, and will also improve the quality of exported coffee.

The Ethiopian Commodity Exchange opened in April and already trades agricultural commodities such as maize, wheat, corn and sesame.

The country has won trademark rights for its specialty Sidamo, Harar and Yirgacheffe coffees and has signed agreement with 70 global companies to promote its coffee brands.

15 million smallholder farmers grow the beans, and last season Ethiopia exported 170,888 tonnes of the crop and earned $525.2 million.