Commodities - BRICS

BRICS

The nominal value in the Commodities market is projected to reach US$30,200.00bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 1.88% resulting in a projected total amount of US$33,140.00bn by 2029.
The average price per contract in the Commodities 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$53,690.00bn in 2024).
In the Commodities market, the number of contracts is expected to amount to 3,652,000.00k by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

The Commodities market in BRICS countries is experiencing significant growth and development. Customer preferences in the BRICS Commodities market are largely influenced by the increasing demand for alternative investment options.

Investors in these countries are looking for ways to diversify their portfolios and hedge against market volatility, driving the demand for Commodities as financial derivatives. Trends in the BRICS Commodities market vary across the countries. In Brazil, there is a growing interest in Commodities trading as the country is a major producer of agricultural products.

Russia, on the other hand, is seeing a surge in energy Commodities trading due to its significant oil and natural gas reserves. In India, precious metal Commodities like gold and silver are popular among investors as a safe haven asset. China, being a major player in global trade, is witnessing increased trading activity in industrial metals like copper and aluminum.

Local special circumstances in the BRICS Commodities market play a crucial role in shaping the dynamics. Brazil's strong focus on agriculture makes it a key player in the global Commodities market for products like soybeans, coffee, and sugar. Russia's dominance in energy production gives it a strategic advantage in the oil and gas Commodities sector.

India's cultural affinity towards gold drives a significant portion of the demand for precious metal Commodities. China's position as a manufacturing hub fuels the demand for industrial metal Commodities to support its infrastructure and construction projects. Underlying macroeconomic factors in the BRICS countries contribute to the growth of the Commodities market.

Economic growth, industrialization, and urbanization in these nations drive the demand for Commodities as raw materials for various industries. Exchange rate fluctuations, inflation rates, and government policies also impact the performance of the Commodities market in the BRICS countries. Overall, the Commodities market in BRICS is evolving in response to changing customer preferences, market trends, and local economic conditions.

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.