Commodity Finance encompasses all the financing activities related to global commodity flows. These are first and foremost non-speculative transactional activities focused on the real economy.
Our Commodity Finance expertise
We work with all the players in the sector, from producers, major traders and regional traders to processors and distributors, providing them with appropriate financing structures. We support them throughout the value chain, i.e. from production through to the delivery of raw materials to their processing sites or consumption venues.
We provide clients with all the banking instruments for financing commodities flows and securing the payment of commodities. Our financing is most often short-term, but we provide specific support for longer-term transactions such as stock financing or pre-export financing.
Our areas of expertise in Commodity Finance
Our 80 experts operate in energy (oil, oil products, gas, etc.), metals (non-ferrous base metals, iron ore, steel, etc.) and agricultural materials (cereals, sugar, cotton, etc.), backed by the support of back offices (documentary credit and guarantees) boasting extensive expertise and close relationships with our customers.
A global activity with regional specificities
The Commodity Finance business is based on four major operational platforms in:
- New York,
- London, with a team specialising in structured export pre-financing arrangements.
Our teams are also present in Sao Paulo, Shanghai and Hong Kong SAR. The Commodity Finance business is managed globally from Geneva.
Our Commodity Finance offering
- Documentary credits, standby letters of credit, documentary collections, guarantees
- Financing of:
- margin calls related to price-risk hedging transactionsStructured pre-financing and/or prepayment transactions
- Borrowing base
- Credit revolver
We are also pursuing our efforts to implement and invest in technologies, both directly and indirectly in partnership with fintechs. An illustrative example in this respect is our partnership with Komgo.
Trakk by Komgo
To contribute to a safer and more reliable trade finance environment, Crédit Agricole CIB provides a link to a new certification service: Trakk by Komgo.
Our support to the energy transition
Our clients are key players in the energy transition thanks to their adaptability, organisation, networks and expertise.
Our ambition is therefore to continue to support them in their trajectory towards a less carbon-intensive economy and to provide them with the most relevant and innovative financing solutions and products in terms of ESG.