Agricultural Product Derivatives - Angola

Angola

The nominal value in the Agricultural Product Derivatives market is projected to reach US$21.24bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 5.44% resulting in a projected total amount of US$27.68bn by 2029.
The average price per contract in the Agricultural Product Derivatives market amounts to US$0.08 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in the United States (US$12,320.00bn in 2024).
In the Agricultural Product Derivatives market, the number of contracts is expected to amount to 212.40k by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

The Agricultural Product Derivatives market in Angola is experiencing a notable shift in dynamics that are shaping the landscape of financial instruments tied to agricultural commodities.

Customer preferences: Angolan investors are increasingly showing interest in diversifying their portfolios by including agricultural product derivatives. This can be attributed to the potential for high returns and risk management benefits that these financial instruments offer.

Trends in the market: One of the key trends in the Angolan Agricultural Product Derivatives market is the growing demand for derivatives linked to local cash crops such as coffee and cotton. Investors are leveraging these instruments to hedge against price fluctuations and capitalize on market movements.

Local special circumstances: Angola's economy heavily relies on agriculture, with a significant portion of the population engaged in the sector. This reliance creates a unique opportunity for market participants to engage with agricultural product derivatives that directly impact the local economy.

Underlying macroeconomic factors: The government's efforts to diversify the economy away from oil dependency have led to a renewed focus on the agricultural sector. This strategic shift is driving increased interest in agricultural product derivatives as investors seek exposure to the potential growth and stability of the sector. Additionally, the country's improving infrastructure and regulatory environment are further bolstering the development of the Agricultural Product Derivatives market in Angola.

Methodology

Data coverage:

Figures are based on commodity derivatives, their notional value, the number of contracts traded, the open interest (outstanding contracts at the end of a year), and the average value of a contract.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use market research & analysis, and data of World Bank, as well as the World Federation of Exchanges. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus such as GDP, wealth per capita, and the online banking penetration rate. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita an the online banking penetration rate.

Additional Notes:

The market is updated twice per year in case market dynamics change.