Agricultural Product Derivatives - Argentina

Argentina

Highlights

The nominal value in the Agricultural Product Derivatives market is projected to reach US$117.50bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 5.41% resulting in a projected total amount of US$152.90bn by 2029.
The average price per contract in the Agricultural Product Derivatives market amounts to US$0.27 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached United States (US$12.32tn in 2024).
In the Agricultural Product Derivatives market, the number of contracts is expected to amount to 437.00k by 2029.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Agricultural Product Derivatives market in Argentina is experiencing a significant shift in recent years.

Customer preferences: Argentinian investors and traders in the Agricultural Product Derivatives market are showing a growing interest in diversifying their portfolios and seeking alternative investment opportunities. They are increasingly looking at agricultural product derivatives as a way to hedge against market volatility and inflation, while also aiming to capitalize on potential price movements in the commodities market.

Trends in the market: One noticeable trend in the Agricultural Product Derivatives market in Argentina is the increasing participation of retail investors. With easier access to online trading platforms and a growing awareness of financial markets, retail investors are actively engaging in trading agricultural product derivatives. This trend is contributing to higher trading volumes and increased liquidity in the market.

Local special circumstances: Argentina, being a major agricultural producer with a strong focus on crops like soybeans, corn, and wheat, has a unique advantage in the Agricultural Product Derivatives market. The country's agricultural sector plays a crucial role in driving the economy, making agricultural product derivatives particularly relevant for investors looking to capitalize on the performance of these key commodities in the global market.

Underlying macroeconomic factors: The development of the Agricultural Product Derivatives market in Argentina is also influenced by macroeconomic factors such as government policies, inflation rates, and currency fluctuations. Economic stability and policy decisions regarding the agricultural sector can have a direct impact on the performance of agricultural product derivatives. Additionally, global market trends and trade agreements play a significant role in shaping the opportunities and risks associated with trading agricultural product derivatives in Argentina.

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.