Question by ansy: Is there a difference between ‘agricultural commodities’ and ‘agricultural products’?
Do agricultural products and agricultural commodities have the same meaning and can they be used in the same situations? Which is better: agricultural commodities market or agricultural products market?
Best answer:
Answer by the long shot
sometimes. commodities are usually the base product that is not processed. though there are exceptions like bean oil, and soy meal. Products are processed or nonstandardized agriculture products. The products is a catchall “other” category.
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2 Responses
Generally, commodities are referring to what is produced (ie corn, wheat, soybeans, cotton, milk, etc). Agricultural products generally refer to products used in the production of the commodities (ie fertilizer, herbicides, insecticides, etc)
Posted on September 25th, 2010 at 7:49 pm
If you ask me to define the difference, commodities are traded on the stock market while products made from those commodities are not. Commodities such as wheat is traded, bread isn’t. Pork bellys are traded, bacon isn’t. Soybean oil is traded, soybean oil when used as cooking oil isn’t. Corn is traded, corn flakes or corn meal isn’t.
Posted on September 25th, 2010 at 8:35 pm