Agricultural Product Derivatives - Cuba

Cuba

Highlights

The nominal value in the Agricultural Product Derivatives market is projected to reach US$26.62bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 5.03% resulting in a projected total amount of US$34.02bn by 2029.
The average price per contract in the Agricultural Product Derivatives market amounts to US$0.20 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 134.80k by 2029.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

Amidst Cuba's unique agricultural landscape, the Agricultural Product Derivatives market in the country is experiencing notable trends and developments.

Customer preferences: Customers in Cuba are increasingly showing interest in agricultural product derivatives as a means of diversifying their investment portfolios and managing risk. With a growing awareness of the potential benefits of these financial instruments, market participants are exploring new opportunities in this sector.

Trends in the market: One prominent trend in the Cuban Agricultural Product Derivatives market is the focus on sugar derivatives. Given the country's historical reliance on sugar production, derivatives linked to this commodity play a significant role in the market. Additionally, there is a rising demand for derivatives related to other key agricultural products like tobacco and coffee, reflecting the diversification efforts within the market.

Local special circumstances: Cuba's unique political and economic environment influences the Agricultural Product Derivatives market in distinct ways. The country's state-controlled agricultural sector and centralized economic policies impact market dynamics, leading to a more controlled and regulated derivatives market compared to some other regions. Moreover, the country's emphasis on self-sustainability and domestic production shapes the types of agricultural products that drive derivative trading activities.

Underlying macroeconomic factors: The macroeconomic landscape in Cuba, characterized by factors such as government interventions, trade restrictions, and limited access to global markets, significantly influences the Agricultural Product Derivatives market. These factors create a market environment where local supply and demand dynamics, as well as government policies, have a substantial impact on derivative pricing and trading volumes. Additionally, external factors such as international trade agreements and geopolitical developments can also influence market trends in the country.

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.