What is the commodity manager doing?

The

commodity manager is responsible for the supervision of the acquisition, use and sale of a specific type of commodity. Governments, businesses and investment companies employ commodity managers, and these individuals often chair a team of traders. In many cases, commodity managers are paid by employees, but managers employed in the private sector are often paid for commissions.

Government agencies such as military and federal food programs, as well as organizations such as service providers, must obtain commodities such as oil, gas and various types of food. These agencies cannot work effectively if the stocks of these commodities are taking place. The commodities manager must ensure that the commodity supply is sufficient to satisfy the demand. The commodity manager must enter into negotiations with supplier companies placed on domestic or overseas and arrange purchasing contracts on behalf of the government agency that requires commodity. In some cases, the ENT government will end up with excess supplies, in this casethe power manager of the commodity to sell excess supplies.

Commodity managers employed by the main corporations must mediate shops for the purchase of raw materials needed for the manufacturer's goods. In addition, these individuals buy commodities that are needed to operate its clients. Commodity managers employed by Trucking Firms can conclude contracts to buy gasoline supplies at low wholesale prices, while commodities in construction companies can mediate shops to buy large amounts of timber or other types of building materials.

Investment companies employ commodities managers to buy and sell precious metals such as gold and silver, as well as other trading commodities including oil and gas. While the commodities managers employed most corporations and governments are focused on buying goods Own use of an entity have managers employed by investmentBusiness task of purchasing and selling commodities for profit. Successful commodities managers employed by investment companies can buy a large number of commodities at low prices and then sell these commodities to other investors at a much higher price. Investment managers receive commissions based on sales sales.

Commodities manager must have good work knowledge of commodities as a whole and must have the ability to predict and prepare for lack of offer and price increase. If the stocks are abundant, the commodity manager may decide to buy and maintain excessive supplies if economic and industrial data indicate that the offer level will soon drop. Commodity managers are also responsible for monitoring inventory and finding suitable storage sites. This often includes entry into storage contacts with warehouses or companies that specialize in volatile commodities for housing oil or natural gas.