Organic contracts for agricultural contracts possible ?

Discussion in 'Commodity Futures' started by SNBthetrue, Jan 14, 2010.

  1. I am sure they are huge orange organic farms in the Us ? Does a futures contracts exists for that ?

    I mean at the beggining of futures contracts the real physical volume was so much smaller than today that I don't understand why there is so much lag to introduce this range of products... ( at least I never heard about it ).
  2. most of this crap isn't consumed by humans. corn is feed corn, soybeans are turned into jello and I think they make baskets out of wheat.

    no need for organic wheat baskets son.

  3. 1) You need a "large" supply of "standardized" commodity.
    2) There is a lot of variation in what actually constitutes "organic" food. :cool:
  4. smalls


    most org stuff (correct me if i am wrong) will just trade a premium over/under reg. why make a new market for that?
  5. smalls is spot just trades premium...whether it be milk, grain, whatever. Also, a lot of the smaller niche organic producers set their own price, as opposed to selling organic wheat for instance to an organic terminal market, so the standardization would be impossible.

    But ultimately, organic should be treated just like higher quality grains etc, it gets a premium over base price.
  6. spd


    I hate this "Organic" craze. Shit needs to stop.

    Organic doesnt mean healthy, it means the molecule contains Carbon, thats it.

    Tupperware is organic.
    DDT is organic.
    Fuck, crystal meth is organic.

    We dont need an organic futures market.
  7. If I can make money in it, I'll take it! :D
  8. I can only reply one thing to you... please continue to think like that and trade, trade a lot... You will feed many brave mens :)

    Dear Nazzdack,
    Thank you for your reply. I totally agree with your point 1) and 2) on the lag of the producers. It clearly show a lack of professionalism on them... However I don't think it's only a problem with the supply. I think that the demand side as a lot of weight too. In fact a few people know what are the advantages and disadvantages of organics farming on health, natural ressources compared to conventional farming. But at the end anyone will always prefer ( cost exclude ) a product grown without chemical "boost" to a product containing micro traces of chemical products ( "boosted" )...

    LoL... :D Impressive !!! you didn't see that I used the word "contracts" 3 times... Not a new market, just new contracts... CME could be the perfect Market...
    Furthermore, growing organic can't be compared to conventional on a premium basis only... there are really 2 differents world. For me I would like to trade in a contract where I know that I have nothing to do with the conventional agri biz.

    Dear traderTX,
    As you clearly say the producers have difficulties to address the issue of standardisation or said better scale their distribution models. It's a shame. However when the condition will be right, we know that someone in the Market will take care of it... The premium concept is maybe the reason why there is this problem in nuturing the flow of these producers...

    Are you saying that first we need to take the crystal meth then being druged eat the DDT to finaly be ready to die with a tupperware in the stomac ? lol...
    Please don't eat your barrel of Oil a day... it will make you fat... to much carbon :D :D
    You could be fun... if you weren't dumb... please educate yourself.

    The market spirit :D thx !
  9. No news ?
  10. smalls


    on what?
    #10     Aug 2, 2010