People are similar with the term trading commodities since the dawn of human civilization. With each generation, people have invested in numerous items but the ones that are mentioned in the list of top 10 most traded commodities in the world have proved to stand the test of time. The purpose of commodity trading is to gain profits from escalation in prices of commodities. Browse through the list to see which items are currently regarded as the Top 10 Most Traded Commodities in the World.
List of Most Traded Commodities in the World
1. Crude Oil
3. Natural Gas
5. Brent Oil
Top Ten Most Traded Commodities in the World
Get to know more about the most traded commodities in the world by glancing through the chart of Top Ten Most Traded Commodities in the World.
1. Crude Oil
Used in plastic, lubricants, asphalt and as a heating source which make it vital, crude oil is the most traded commodities in the world. The liquid which is naturally found in rock is also vital in the extraction of petroleum and is used to fuel everything from cars to boats. Crude oil is mostly found in the Middle East from where it is extracted, refined and finally transported across the globe. There is an increasing demand for crude oil and the prices have risen drastically. According to experts, by 2025, an addition of 44 million barrels of crude oil per day will be pumped out of the world’s major oil producers.
Coffee is a seasonal traded commodity from South Asia, Asia and Africa and the main consumers are United States and Europe. Currently a hot item, everyday 2.25 billion cups of coffee is consumed worldwide. Its demand has not slowed down in any way and it has increased over the last few months. It is mainly traded through the New York Board of Trade [NYBOT], the Kansai Commodities Exchange in Osaka, Japan, the Singapore Commodities Exchange [SICOM] and Euronext, London.
3. Natural Gas
Just like Crude oil, natural gas is extremely versatile which is used in everything from cooking, heating to lighting. Despite government’s effort towards more renewable source of energy, the demand for natural gas has not ceased to decrease. And according to the Natural Gas Supply Association, the demand for gas is set to increase by 8.3 percent in few years. Among others, Russia and Norway leads the chart in exportation of the gas.
Be its beauty or its popularity among women, gold has always been valuable. One among the Top 10 most traded commodities in the world, the luxurious metal is traded in the New York Mercantile Exchange [NYMEX], the Brazilian Mercantile and Futures Exchange [BMF], the Dubai Gold and Commodities Exchange [DGCX], the National Commodity Exchange Limited in Karachi, Pakistan and the Tokyo Commodities Exchange. Also investors see gold as a better investment option.
5. Brent Oil
After crude oil it is the second most traded oil product in the market. This oil is basically found in the North Sea and Norway and areas like Europe and Africa use Brent oil more as compared to crude oil. It contains approximately 0.37% of sulphur, classifying it as sweet crude. Brent is suitable for the production of petrol and middle distillates. A fun fact about this oil is that the name is actually an Acronym for the layers of the oil fields it was initially found in Broom, Rannoch, Etieve, Ness and Tarbat.
Another product that grabs the attention of top ten most traded commodities in the world is none other than Silver. Apart from preparing jewellery, ornaments, utensils & currency coins, silver is also widely used in industries for making electrical conductors, mirrors, chemical industry, photographic films, etc. Mexico, Peru, China and India being the largest exporters, it is valued as a very precious metal & has been used since ages to symbolize social or political rank.
A common ingredient, sugar has become so popular that maximum of the foods we consume daily has sugar content in it. In the western world basically, sugar is a major part of everyday’s diet and found in the vast majority of snack and junk food and most countries in the world trade in this commodity. From last few months sugar contracts are on continuous incline with India, China and Brazil as the major exporter.
Corn being one of the most flexible agricultural product, it has immense demand from across the world. Around 70% of its production comes from United States with 80 million acres dedicated for this purpose. Corn is also used in a number of food items as well as cattle fodder in many parts of the world. Research also suggests that corn will in time become a relevant source of alternative energy.
Wheat is used in many of the things we eat on a daily basis such as bread, cereals and deserts, thus it is one f the most traded commodities in the world. The growing popularity in people becoming health conscious has also led to an upturn in wheat trading. It is third most produced cereal grain after Rice and Maize and also the most grown commercial crop in the world.
The record of top 10 most traded commodities in the world won’t be complete with mentioning the soft fluffy plant, cotton. Its uses are not limited to only clothes, coffee filters, and paper but also for fishing nets, fire hoses, oil, cosmetics, medicines and many more. USA, Australia and Brazil are its largest exporter while China, USA, India, Brazil and Pakistan are it major producers. Cotton has been traded for thousands of years and to this day remains on as the world’s most in-demand commodities.