PUBLISHER: The Business Research Company | PRODUCT CODE: 1742145
PUBLISHER: The Business Research Company | PRODUCT CODE: 1742145
The globally for consumption, processing and manufacturing. These commodities are essential to food production, textile manufacturing and various industrial applications, forming the backbone of global agricultural trade. Agricultural commodities include staple crops such as grains, oilseeds and cash crops, which serve as inputs for food, beverages, textiles and biofuels.
The agricultural commodity market consists of revenues generated by entities (organizations, sole traders and partnerships) involved in the production, processing and trade of raw agricultural products. These commodities are cultivated in diverse climatic conditions across different regions, with farming methods ranging from smallholder agriculture to large-scale industrial farming. The production of agricultural commodities is influenced by factors such as soil conditions, weather patterns, irrigation and technological advancements in farming techniques.
The global agricultural commodity market was valued at $3,707.17 billion in 2019 which grew till 2024 at a compound annual growth rate (CAGR) of more than 8.00%.
Increased Demand For Agriculture Waste As Animal Feed
During the historic period, the increased demand for animal protein propelled the growth of the agricultural commodity market. The rising demand for animal protein boosts the production of livestock, poultry and aquaculture, driving higher demand for feed crops such as corn and soybeans, which strengthens agricultural commodity markets. This trend also encourages advancements in breeding, feed efficiency and sustainable farming practices, enhancing overall productivity and profitability in the agricultural sector. For instance, in November 2022, according to the NAAS (National Academy of Agricultural Sciences), an India-based autonomous organization policy paper, around 44% of total agricultural residues in India are estimated to be used as animal feed. This includes crop residues such as wheat straw, rice straw, maize stover, and sugarcane tops. The document highlights that India produces approximately 500-550 million tons of crop residues annually, of which a significant share is traditionally utilized as livestock feed, especially in rural areas where it serves as a low-cost source of roughage. Therefore, the increased demand for animal protein supported the growth of the agricultural commodity market.
Expanding Access To Futures Trading With Smaller, Flexible Contracts
Major companies operating in the agricultural commodity market are focusing on developing futures contracts, providing price stability, leverage and risk management for hedgers while offering profit opportunities for speculators in highly liquid and regulated markets. A futures contract is a standardized agreement to buy or sell an asset at a predetermined price on a specific date, traded on regulated exchanges. For instance, in February 2025, CME Group, a US-based marketplace offering the widest range of futures, launched a suite of micro grain and oilseed futures contracts. These cash-settled futures contracts are one-tenth the size of standard Corn, Wheat, Soybean, Soybean Oil and Soybean Meal futures, offering greater flexibility for managing agricultural portfolios with precision. The smaller contract size reduces capital requirements, making futures trading more accessible to a wider range of market participants. With cost-effective and transparent trading, these micro futures provide an efficient way to gain exposure to futures markets while benefiting from a broad selection of global products.
The global agricultural commodity markets are highly fragmented, with a large number of small players operating in the market. The top 10 competitors in the market made up 4.97% of the total market in 2023.
Agricultural Commodity Global Market Opportunities And Strategies To 2034 from The Business Research Company provides the strategists; marketers and senior management with the critical information they need to assess the global agricultural commodity market as it emerges from the COVID-19 shut down.
Where is the largest and fastest-growing market for agricultural commodity? How does the market relate to the overall economy; demography and other similar markets? What forces will shape the market going forward? The agricultural commodity market global report from The Business Research Company answers all these questions and many more.
The report covers market characteristics; size and growth; segmentation; regional and country breakdowns; competitive landscape; market shares; trends and strategies for this market. It traces the market's history and forecasts market growth by geography. It places the market within the context of the wider agricultural commodity market; and compares it with other markets.