By Okoye Cornelius Chukwudi
To manage the price risks associated with market fluenctions and to ensure that the qualities of the commodity net with interventional standards, the federal government of Nigeria established the Abuja, security and commodities exchange the commodity exchange was expected to tackle the following setbacks being faced by problems is exportation of primary commodities these include price instability, poor market information/intelligence, unsatisfactory quality of goods exported and weak infrastructures the literature provides general view about the working of a commodity exchange around the world and what is obtainable in Nigeria. The major objectives of primary commodities in Nigeria and to find out the contribution of primary commodities revenue the country’s GDP. The survey design was used in this study. The yearly data on these major commodities used was sourced from the Central Bank of Nigeria statistical bulletin and from interview of top management of the exchange and commodity brokers representing the farmers. Judgment sampling method was used to select three commodities out of twelve traded at the exchange multiple regression analysis using the current SPSs statistical software was used to evaluate the impact of price instability on volume of trade and effect of commodity revenues on country’s GDP.