Industry Challengesdairy industry

Dairy producers and manufacturers face many challenges in operations and marketing. As dairy prices fluctuate from month to month, it can impair forecasts, hinder risk management, and negatively impact bottom lines. The dairy industry is also exposed to other types of market risk including feed, energy, interest rates and foreign currency. To maximize profits, dairy organizations need to know their positions and exposures in real-time. As commodity prices fluctuate, they need to see exactly how this will affect their operating margins, so they can take proper action to hedge against the effects of market volatility. First generation commodity management software is not reliable or sufficient for real-time scenarios. Dairy businesses need a flexible, easy to use software platform for managing trades and mitigating risk – a platform that can accurately track and optimize complex scenarios.

The InstaNext Solution for Dairy

InstaNext’s advanced software provides user-controlled reporting and analytics, helping customers make better business decisions. The InstaNext platform comes with all the necessary tools for managing physical and financial trading, procurement, and market risk. Whether it’s long term contracts or one time fixed price agreements, InstaNext supports both physical and financial trade capture along with complex pricing algorithms, which enables users to cover their commodity needs.

Feature Highlights

  • Percentage Covered
  • Covered / Uncovered positions
  • Automatically calculate complex dairy forward curves using formulas
  • Capture accumulators & barrier options
  • Upload hedge transactions directly from clearing brokers
  • Mark to market
  • Weighted average price per unit
  • Forecasted Spend vs. Projected Spend
  • Theoretical Option Valuations
  • Import native products and BOMs from ERP/MRP
  • Capture top level finished goods forecasts and calculate required volume and price of each BOM component
  • Drill Down/Roll up Bill of Materials to see final cost of goods
  • Create sandboxes to test pricing scenarios and see the impact on finished goods
  • Automatic broker reconciliation
  • Auto or Manual P&Sing process
  • Historical positions and P&L as of any date
  • Realized and Unrealized P&L
  • Hierarchical book structures

Customizable Reports & Dashboards

  • Simple drag and drop report generation
  • Create meaningful data visualizations
  • Charts / Graphs / Maps / Grids / Pivots
  • Incorporate external data sources to create a single source of information
  • Securely publish and share with other users
  • Export / Print in various formats (PDF, XLS, etc.)

InstaNext Commodity Trading and Risk Management (CTRM) software is available as a cloud-hosted solution and can also be installed on site. The software is widely used across the energy, commodity trading, consumer packaged goods, and agricultural industries. InstaNext supports all types of trades including forwards, futures, over-the-counter (OTC), swaps, foreign exchange, and options.