Problems and Countermeasures in Agricultural Futures Market

Abstract. Recently, agricultural futures have grown rapidly, and is playing an integral role in the global economy, making an important contribution to global food security. However, agricultural futures also face several challenges and risks in many aspects. Firstly, agricultural futures prices are unstable and are largely influenced by climatic conditions, supply and demand, respectively; Secondly, the structure of agricultural futures varieties is unreasonable, the current futures varieties are mostly focused on grain and cash crops, and livestock and aquatic products are obviously neglected; Further, its market trading body is missing, and farmers find it difficult to access the futures market due to a lack of knowledge about the market; Finally, current agricultural products are still subject to regulatory risks. In response to these problems, the author suggests a series of measures to stabilize futures prices, optimize the structure of varieties, cultivate trading entities and strengthen market regulation. The paper may shed lights for both authorities and investors.