Agricultural Product Derivatives - Russia

Russia

Highlights

The nominal value in the Agricultural Product Derivatives market is projected to reach US$400.00bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 1.00% resulting in a projected total amount of US$420.50bn by 2029.
The average price per contract in the Agricultural Product Derivatives market amounts to US$0.43 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 965.90k by 2029.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

Amidst the vast expanse of Russia's agricultural landscape, the Agricultural Product Derivatives market in the country is experiencing notable developments.

Customer preferences: Customers in Russia are increasingly turning to Agricultural Product Derivatives as a way to hedge against the volatility in commodity prices. With a history of fluctuating prices in the agricultural sector, market participants are seeking risk management tools offered by derivatives to protect their investments.

Trends in the market: One prominent trend in the Russian Agricultural Product Derivatives market is the growing interest in futures and options contracts for key commodities such as wheat, barley, and sunflower oil. As global demand for these products continues to rise, market players are leveraging derivatives to capitalize on price movements and optimize their trading strategies.

Local special circumstances: Russia's status as a major exporter of agricultural products plays a significant role in shaping the dynamics of its derivatives market. The country's vast arable land and favorable climatic conditions make it a key player in the global agricultural market. This unique position influences the types of derivatives traded in the market and attracts both domestic and international investors looking to gain exposure to Russian agricultural products.

Underlying macroeconomic factors: Macroeconomic factors such as currency fluctuations, government policies, and international trade agreements also impact the Agricultural Product Derivatives market in Russia. As the country continues to navigate economic challenges and geopolitical uncertainties, market participants are closely monitoring these factors to make informed decisions when trading agricultural derivatives.

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.