Agriculture

About Agriculture trade

Agricultural commodities are the food, feed and farm raw materials that move in large lots between countries: grains, oilseeds, vegetable oils, sugar, coffee, cocoa, livestock, meat, fish and fresh produce. Producers, traders, millers, refiners and food manufacturers buy and sell them in tonnes or by the container, usually against a contract that fixes the quality, the quantity and the shipping period. On Comdity, companies post sell offers and buy requests for these products and agree the terms directly with each other.

Who trades Agriculture in the world

Looking at the 26 products of this group together, the largest exporting countries in 2024 were Brazil, United States, Indonesia, Malaysia, and the largest importing countries were China, United States, India, Germany. Open a product to see the figures for that product alone.

Source: OEC (BACI/CEPII), 2024. Sums of the main trading countries of each product in the group; by every mode of transport, not only by sea.

How Agriculture is shipped

Dry agricultural cargo such as wheat, corn, soybeans and sugar mostly travels loose in the holds of bulk carriers, from Handysize to Panamax. Vegetable oils go in chemical or product tankers. Fruit, meat and fish need refrigerated ships or reefer containers, and live animals need specialised livestock carriers. The sea freight is usually the buyer's cost on FOB terms and the seller's cost on CFR and CIF terms.

What buyers and sellers compare

Buyers compare the grade or standard of the crop, the harvest year, moisture and protein or oil content, the origin, the port of loading, the quantity per shipment and the inspection company that issues the certificate. Sellers compare payment terms, the loading rate at the port and the time window in which the ship must arrive.

When the terms are agreed, you can explore suitable vessels on Shipfixing.

Questions about Agriculture

What does FOB mean when buying agricultural commodities?

FOB means the seller delivers the goods on board the ship at the loading port. From that point the buyer arranges and pays the sea freight and carries the risk. CFR and CIF put the freight, and for CIF the insurance, on the seller.

How are agricultural cargoes inspected?

An independent inspection company usually checks the quality and the quantity at the loading port and issues a certificate. The contract says which company, which standard and what happens if the result is outside the agreed limits.