Commodity sector braces itself for prolonged period of higher costs and volatility
HIGHER freight costs and longer voyage times on the back of trouble in the Red Sea are among the key challenges that commodity companies and traders are grappling with. These come even as they brace themselves for an extended period of uncertainty hanging over the sector.
Speaking at a series of panel discussions on the opening day of the Asia-Pacific Commodity Trading Week – held in Singapore for the first time – executives of trading firms and commodity giants voiced concerns over the impact of factors such as geopolitical tensions and weather conditions on their businesses.
Vikram Sardeshpande, managing director at soft commodity services group ECOM Agroindustrial Asia, said commodity firms have had to adjust their risk models across the board last year on the back of volatility.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Energy & Commodities
Why prices for chocolate and cocoa went nuts
China’s push for greener aluminium hit by erratic rains, power cuts
Philippines says US, China eyeing mining opportunities, especially in nickel
Gold set for best week in five on renewed US rate-cut hopes
Biden determined to keep US Steel in US hands: White House
Oil holds near one-week high on rising demand hopes after China, US data