Trade finance of agro commodities in Europe (2)
18/06/2019
Besides international financial organizations and export credit agencies, main providers of agricultural trade finance in Europe include 2 other groups.
Agro commodities traders
  • Cargill: Cargill is an international company for trade, production and distribution of agricultural, industrial, financial and food products, employing approximately 155,000 employees in 70 countries around the world headquartered in Minneapolis, Minnesota, USA. The company sells grain, butter, sugar, cocoa products, beef, pork, turkey meat, etc. In addition, the company is a major agricultural producer. Main locations of Cargill are Europe, Middle East, Africa.
  • Glencore: Glencore is an integrated producer and marketer of commodities, such as metals and minerals, energy products, agricultural products and Corporate and other. Its Agricultural products segment is supported by controlled and non-controlled storage, handling and processing facilities in various locations, and is focused on grains, oils/oilseeds, cotton and sugar. Its diversified operations consist of over 150 mining and metallurgical, oil production and agricultural assets. Area served: Africa, Asia, Australia, Canada, Europe, USA, South America.
  • Archer Daniels Midland: Archer Daniels Midland Company (ADM) is an American global food processing and commodities tradingcorporation, headquartered in Chicago, Illinois. Today, we’re one of the world’s largest agricultural processors and food ingredient providers, with approximately 40,000 employees serving customers in nearly 200 countries. Main locations of ADM are Asia&Pacific, Europe/Middle East/Africa, South America, North America/Central America/Caribbean.
  • Louis Dreyfus: Louis Dreyfus Company B.V. (LDC) is a global merchant firm that is involved in agriculture, food processing, international shipping, and finance. Our activities span the entire value chain from farm to fork, across a broad range of business lines (platforms). Structured as a matrix organization of 6 geographical regions and 10 platforms, Louis Dreyfus Company is active in over 100 countries and employs approximately 18 000 people globally. The Europe, Middle East & Africa region includes the historic heart of our business and our largest trading hub. China, Brazil, and India, together with a number of African countries, offer significant growth opportunities. Other regions: North Latin America, South and West Latin America, Asia region.
  • Bunge: Bunge Limited is an American agribusiness and food company, incorporated in Bermuda, and headquartered in White Plains, New York, United States. As well as being an international soybean exporter, it is also involved in food processing, grain trading, and fertilizer.The Company operates through five segments: Agribusiness, Edible Oil Products, Milling Products, Sugar and Bioenergy, and Fertilizer. The principal agricultural commodities that the Company handles in agribusiness segment are oilseeds, primarily soybeans, rapeseed, canola and sunflower seed, and grains, primarily wheat and corn. Bunge operates in more than 40 countries around the world.
  • Wilmar International Limited: Wilmar International is a global agribusiness firm with a focus on palm oil, sugar and grains. Wilmar is ranked amongst the largest listed companies by market capitalisation on the Singapore Exchange. The Company is involved in oil palm cultivation, edible oils refining, oilseeds crushing, consumer pack edible oils processing and merchandising, specialty fats, oleochemicals and biodiesel manufacturing, and grains processing and merchandising. It has over 500 manufacturing plants and an extensive distribution network covering China, India, Indonesia and some 50 other countries.
  • Noble Group:Noble Group Holdings Limited is Asia’s leading independent energy products and industrial raw materials supply chain manager. Noble Group manages a portfolio of global supply chains covering a range of industrial and energy products. With offices in Hong Kong, Singapore, Mumbai, Beijing and London, the Logistics business services external customers as well as Noble’s internal freight requirements with modern competitive ocean transport in the dry bulk segment (including iron ore, energy coal and grains).
  • CHS: CHS Inc. (chsinc.com) is a global agribusiness owned by farmers, ranchers and cooperatives across the United States. CHS supplies energy, crop nutrients, grain marketing services, seed, crop protection products, production and agricultural services, animal feed and food and food ingredients. CHS is a company in the U.S. and 19 countries with main operation locations in North America, South America, Europe, Middle East and Africa & Asia Pacific.
  • GrainCorp: GrainCorp Limited operates as a food ingredients and agribusiness company in Australasia, Asia, North America, Europe, the Middle East, North Africa, and internationally. The company operates in three segments: Grains, Malt, and Oils. The Grains segment receives, transports, tests, stores, and exports/imports grains comprising wheat, barley, canola, and sorghum, as well as other bulk commodities. Worldwide operation countries: Australia, USA, Canada, United Kingdom, Germany, China, Singapore, New Zealand, Ukraine.
  • COFCO Agri Limited: Cofco Agri Limited engages in agricultural trading and processing businesses. It is engaged in the sourcing, processing, storage, and marketing of a range of essential raw materials, such as grains, oilseeds and sugar, coffee, and cocoa. The company is engaged in oilseed processing in China; oilseed crushing, refining, and biodiesel operations in Brazil, Argentina, South Africa, Ukraine, and India; originating, storing, and exporting wheat, barley, and oilseeds in Australia; the warehousing and distribution of grains and foodstuffs in Saudi Arabia, Jordan, Dubai, and Egypt; and originating, storing, and exporting wheat, corn, barley, and oilseeds in Ukraine and the Russian Federation.
  • PHIBRO: Phibro is an international physical commodities trading firm. Phibro is a Commodity Merchant Company focused on physical trading, asset acquisition & development, optimization and structuring. Phibro trades in crude oil, oil products, natural gas, precious and base metals, agricultural products, commodity-related equities, and other products. Phibro’s trading in agricultural and other commodities focuses on the various grain markets as well as coffee, sugar and cocoa.
Trade finance banks
This specialized area of banking involves a unique set of financing options used by businesses to facilitate the movement of goods and services. While not limited to international trade, the products are commonly associated with the movement of goods between countries.
Trade finance offers the possibility to finance a trade transaction while optimizing your company’s cash flow. This service can be used as an alternative to such banking product as credit line.
Standard trade finance operations of bank:
  • Structuring of Trade Finance deals for particular clients’ needs
  • Letters of Credit in local and foreign currency
  • Guarantees in local and foreign currency issued on request of the corporate customer
  • Re-issuing guarantees in local and foreign currency on request of banks
  • Documentary collection