Cargill’s corporate growth in times of crises: how agro-commodity traders are increasing profits in the midst of volatility

Tania Salerno ()
Additional contact information
Tania Salerno: University of Amsterdam

Agriculture and Human Values, 2017, vol. 34, issue 1, No 16, 222 pages

Abstract: Abstract This paper proposes two interrelated arguments: first, it is argued that agro-commodity traders are uniquely placed at the crossroads of agricultural trade to benefit from agricultural commodity speculation; and second, that the networks constituting their operations are central to their hedging activities. The case of Cargill—the largest privately owned company in the United States and one of the largest agricultural traders in the world—is used to support this argument by unpacking its operations, structure, and hedging strategies. In order to connect the operations of Cargill to its speculating strategies, this paper first traces how agriculture and finance have become increasingly intertwined leading to heightened agricultural commodity speculation. Second, Cargill will be positioned within this process by analyzing how it has financialized its own strategies and its Corporate Platform. Third, Black River Asset Management, Cargill’s private equity arm, will be analyzed to show how it uses the information moving through Cargill’s Platform to engage in hedging and/or speculation.

Keywords: Speculation; Food crisis; Financialization; Global food system; Cargill (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

Downloads: (external link)
http://link.springer.com/10.1007/s10460-016-9681-8 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:agrhuv:v:34:y:2017:i:1:d:10.1007_s10460-016-9681-8

Ordering information: This journal article can be ordered from
http://www.springer.com/economics/journal/10460

DOI: 10.1007/s10460-016-9681-8

Access Statistics for this article

Agriculture and Human Values is currently edited by Harvey S. James Jr.

More articles in Agriculture and Human Values from Springer, The Agriculture, Food, & Human Values Society (AFHVS)
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().