Orrani Consulting › Commodity Procurement for the Food Sector

Commodity Procurement Strategy for the Food Sector

We put this business at the centre of the global commodity markets - providing tools to shape their procurement strategy

The Brief

A major multinational food company wanted to understand how its procurement strategies should be adapted to address future supply & demand changes in various global commodity markets.

This included the likely impacts of the Doha Round of international trade negotiations, the continued strong economic growth in many developing countries, and numerous other factors.

Every country was profiled in detail along with assessments of how the markets are likely to develop in the future.

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Our Approach

We took a detailed look at the aims, objectives and progress of the Doha Round, particularly after the groundbreaking trade reforms from the Uruguay Round in the mid-to-late 1990s.

By developing a number of potential Doha Round outcome scenarios, we assessed each for its potential market impact and the likelihood of it being achieved during the negotiation period.

Next, we created a list of the top 25 supply and demand countries for each of the commodities involved. Every country was profiled in detail along with assessments of how the markets are likely to develop in the future.

In addition, we reviewed non-Doha Round trade issues, particularly in relation to multilateral and bilateral trade agreements and their potential impacts.

Our Solution

We produced a detailed report into how global trade reforms and economic factors in the various countries and regions would affect supply and demand dynamics.

Our strategic assessment provided the client's global procurement team with the tools to shape their procurement strategies to maximise efficiency and mitigate risk.