Agricultural Product Derivatives - Uzbekistan

Uzbekistan

The nominal value in the Agricultural Product Derivatives market is projected to reach US$581.20m in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 5.37% resulting in a projected total amount of US$754.90m by 2029.
The average price per contract in the Agricultural Product Derivatives market amounts to US$0.01 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 84.22k by 2029.

Market

Region

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Currency

Analyst Opinion

Amidst a growing focus on agricultural product derivatives, Uzbekistan is experiencing notable developments in its market.

Customer preferences: Investors in Uzbekistan are increasingly showing interest in agricultural product derivatives as a way to diversify their investment portfolios and hedge against market uncertainties. This trend is in line with the global shift towards alternative investments and risk management strategies.

Trends in the market: Uzbekistan is witnessing a rise in the trading of agricultural product derivatives, driven by factors such as increasing awareness about financial instruments, evolving regulatory frameworks, and the integration of technology in trading platforms. Market participants are exploring various derivative products linked to agricultural commodities to capitalize on price movements and leverage trading opportunities.

Local special circumstances: One of the unique aspects shaping the agricultural product derivatives market in Uzbekistan is the country's reliance on agriculture as a significant sector of its economy. This reliance creates a natural interest and familiarity with agricultural products, making derivative trading in this sector more appealing to local investors. Additionally, government initiatives to modernize the agricultural industry are also influencing the market dynamics.

Underlying macroeconomic factors: The overall economic landscape of Uzbekistan, including factors like GDP growth, inflation rates, and foreign direct investment, plays a crucial role in shaping the agricultural product derivatives market. Economic stability and growth prospects can boost investor confidence and attract more participants to the derivatives market. Furthermore, currency fluctuations and trade policies can impact the pricing of agricultural commodities, thereby influencing derivative contracts linked to these products.

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.