Latest / The Buyer's Side with Fexingo: Procurement, Sourcing, and B2B Purchasing Decisions
How a Buyer Used Commodity Hedging to Lock in Margins
Episode 64 of The Buyer's Side: Lucas and Luna explore how a mid-size food manufacturer used commodity hedging to stabilize raw material costs. They walk through the case of a bakery that locked in wheat prices for twelve months, avoiding a 40 percent price spike that hit competitors. The hosts explain the basics of futures contracts, the role of the exchange margin, and how the procurement team convinced finance to approve the hedge. They also discuss when hedging makes sense versus when it's just speculation. Specific numbers and a real-world decision tree make this a practical…
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