DEVELOPMENT OF EXCHANGE-TRADED DERIVATIVES AND AN ORGANIZED COMMODITY MARKET

Introduction. Modern commodity markets are characterized by a high level of uncertainty, significant price volatility, and the growing influence of global economic factors, including fluctuations in supply and demand, exchange rate changes, trade restrictions, financial crises, and geopolitical risks. This is particularly relevant for agricultural commodity markets, where price dynamics are determined by production seasonality, climate risks, changes in logistics supply chains, and instability of the international market environment. Methods. The study of the development of exchange-traded derivatives and the organized commodity market is based on a set of general scientific and special research methods, including the dialectical method to explore the economic nature of exchange instruments and the evolution of organized commodity markets; a systemic approach to analyze the interrelationships between the institutional environment, exchange infrastructure, and pricing mechanisms; comparative analysis to contrast international and domestic experience in futures market functioning; economic and statistical methods to assess the dynamics of exchange trading development and the effectiveness of derivatives as hedging instruments; institutional analysis to determine the role of formal and informal rules in shaping the organized commodity market; and methods of generalization and scientific abstraction to formulate theoretical conclusions and substantiate directions for the development of exchange derivatives. Results. The research findings demonstrate that the development of exchange-traded derivatives enhances the efficiency of the organized commodity market by improving pricing mechanisms, expanding risk management instruments, and increasing trading liquidity. It has been established that the use of futures and options contracts contributes to income stabilization for market participants, reduces the impact of price volatility, and increases the transparency of exchange infrastructure, which is particularly important for the agricultural sector. It is substantiated that, for Ukraine, the formation of a full-fledged derivatives market requires institutional improvement, digitalization of exchange processes, and harmonization of the regulatory environment with international standards to strengthen integration into global markets. Discussion. Further research perspectives are related to an in-depth analysis of institutional and regulatory mechanisms for the development of exchange-traded derivatives in the context of Ukraine’s integration into the European economic space and adaptation to EU standards. An important direction is the development of methodological approaches to assessing the effectiveness of derivatives instruments in hedging agricultural risks, taking into account wartime challenges, global market volatility, and climate factors. Keywords: exchange-traded derivatives; organized commodity market; futures contracts; options contracts; hedging; risk management; pricing; market liquidity; exchange infrastructure; institutional environment; agricultural sector; digitalization of trading.