Financing & Terms

 Financing & Terms


A commodity market involves buying, selling, or trading a raw product, such as oil, gold, or coffee. There are hard commodities, which are natural resources, and soft commodities, which are livestock or agricultural goods.

Commodities include agricultural products such as wheat and cattle, energy products such as oil and natural gas, and metals such as gold, silver, and aluminum. There are also “soft” commodities, or those that cannot be stored for extended periods of time, which include sugar, cotton, cocoa, and coffee.

Commodities are basic goods and materials that are widely used and are not meaningfully differentiated from one another. Examples of commodities include barrels of oils, bushels of wheat, or megawatt-hours of electricity.

What are the six categories of commodities?
  • 1 Agricultural.
  • 1.1 Grains, food, and fiber.
  • 1.2 Livestock and meat.
  • 2 Energy.
  • 3 Forest products.
  • 4 Metals.
  • 4.1 Industrial Metals.
  • 4.2 Precious Metals.
  • 5 List of largest global commodities trading companies.
  • 6 Commodity exchanges and regulators.


What are five examples of commodity market?
Energy products include crude oil, natural gas, and gasoline. Precious metals include gold, silver, and platinum. Agricultural products include wheat, corn, soybeans, and livestock. Other commodities you can trade are coffee, sugar, cotton, and frozen orange juice.

Investors are attracted to commodity investing for its ability to provide an inflation hedge, diversify a portfolio, and unlock potentially large returns. Inflation hedge: The prices of commodities tend to rise with inflation. In fact, commodity prices are often watched as indicators of an inflationary environment.

Who trades in commodities?
Typically, there are two types of investors that participate in the futures markets for commodities: commercial or institutional users of the commodities and speculative investors.
Commodity finance (CF) is the term used for funding the trade of commodities. CF is a type of trade finance, often split into metals and mining, soft commodities, and energy. Commodity finance is used by many companies, including producers, traders, and commodity lenders.
Commodity Finance includes all financing activities related to global commodity flows. These are primarily non-speculative transactional activities oriented toward the real economy.

Commodity trade finance may be defined as providing the financing to bridge the purchase of the commodity, e.g., by a trader, till the sale of the underlying commodity by the trader to e.g., a processor.


What are the diverse types of commodity financing?
Commodity financing is typically grouped into four specialized categories of financing based on when in the deal cycle the financing is applied.
  • Pre-export Finance.
  • Countertrade Finance.
  • Barter.
  • Inventory Finance.
How does commodity trade finance work?
* A letter of credit (L/C) is the most usual form of trade finance. A buyer's bank sends a letter to the seller's bank guaranteeing payment to the seller once goods arrive. * Major oil and commodity trading firms make use of another type of loan called a revolving credit facility (RCF).


What is the difference between commodity and financial futures?
No, though they are related. Futures are a type of financial derivative in which you agree to buy or sell a certain asset at a certain price at a particular time in the future. Commodities are a type of asset representing fungible goods, such as oil, iron ore, or wheat.
What are the 2 main types of commodities?
There are two general types of commodities: hard commodities (natural resources that must be extracted like crude oil and rubber) and soft commodities (agricultural products that can be grown and harvested like lean hogs, soybeans, and coffee).
What is the difference between equity and commodity trading?
Equity represents ownership in a company, whereas commodity is the raw materials that can be traded to profit from difference in commodity prices.


What are the risks of commodity trade finance?
Challenges faced by the commodity industry.
These risks include credit, market, and operational risks. Counterparty risk: In commodity trade finance, there is always the risk that one party may fail to fulfil its contractual obligations.


How do commodity traders trade?
Commodity traders often act as speculators and attempt to make profits on small movements in commodity prices, gaining exposure through futures contracts. These traders go long if they believe prices are moving higher and short the commodity when they expect prices to fall.
What are the three main categories of commodities explain?
Physical commodities are commonly referenced in three broad categories: energy (e.g., oil, petroleum, and gas) metals and minerals (e.g., iron ore, copper, aluminum, gold) agricultural and other “soft” commodity products (e.g., coffee, cocoa, wheat, soybeans, cattle).

Swiss Export SA is a company dedicated to the production and export of food commodities, with extensive experience in international trade and organization (logistic)capacity to manage orders worldwide. We export directly from Brazil to countries of the world, especially China. We are connected directly to the producers and exported certified from Brazil. Our products, that we export are «NON-GMO Soybean, Top quality», Certified as non-GMO (non-genetically modified organism), for human consumption, & GMO Soybean (GMO) of first quality, Suitable for human consumption.
We also export Sugar ICUMSA 45, Brown Sugar ICUMSA 600-1200, Frozen Chicken, Coffee beans, and other products.
Our company is fully authorized to trade to China, with AQSIQ & GACC certified, as Exporters, we are directly connected to farmers and producers, in Brazil, and other countries.
Our companies for inspection at Port are SGS & CCIC.

Our products:

  • GMO-Soybean: Soy (GMO) of first quality. Suitable for human consumption.
    • Free Soy or Non-GMO Soybean
    • Sugarcane ICUMSA 45 quality refined white sugar, & Brown Sugar Icumsa 600-1200.
    • Brazilian Chicken frozen.
    • Brazilian Coffee beans roasted and non-roasted.
    • Brazilian Corn.
    • Other food products.


    For any request send an email to to Mr. Eric.