How Vesper Collects Commodity Intelligence Data

In the world of commodity trading and economic decision-making, having accurate and timely data is crucial. Vesper, a leading platform for commodity intelligence, employs sophisticated methodologies to aggregate, summarise, visualise, and import data from various sources, ensuring users receive reliable and actionable insights. This article explores the logical methodologies Vesper uses to gather and process data, providing a comprehensive overview of its robust information system.

Aggregating Data from Diverse Sources

Vesper collects data from a wide array of sources, each offering unique insights and information. These sources include proprietary data, partner prices, and data from industry associations and commodity exchanges.

Vesper Price Index (VPI)

The Vesper Price Index (VPI) is a proprietary data source developed by Vesper. It serves as an independent pricing benchmark for the agri-commodity industry.

1. Gathering Price Inputs: Vesper collects price data by directly communicating with market players through various channels. Clear guidelines ensure accurate pricing, considering factors like product details, delivery terms, origin, frequency, and whether it’s a spot or forward price.
2. Matching Price Inputs: After gathering price inputs over a set time, Vesper matches them to begin constructing a price that accurately reflects the market. This involves cross-referencing data to ensure consistency and reliability.
3. Price Validation and Assessment: Vesper maintains ongoing communication with industry stakeholders to add context to its benchmark and ensure a well-distributed range of inputs. This active validation includes receiving additional inputs, if necessary, to reflect all sides of the market. Mathematical approaches like mode or average calculation are employed to establish prices, focusing on reducing the impact of outliers and ensuring market accuracy.

Partner Prices

Vesper integrates prices from various partner sources, carefully selected for their reliability and relevance.

• AHDB: Provides data on the UK agricultural market, including production and price information.
• AGM (Associazione Granaria di Milano): Offers market data on grains in Italy.
• Barneveld: Provides pricing data on livestock markets in the Netherlands.
• BMD: Delivers pricing data on palm oil and other commodities in Malaysia.
• Carnex: Offers insights into the meat market, including price and production data.

Data from Industry Associations and Research Institutions

Vesper collaborates with industry associations and research institutions to enhance its data pool.

• USDA (United States Department of Agriculture): Publishes comprehensive data on various agricultural commodities, including production statistics and market forecasts.
• EU Commission: Provides trade and market data for commodities within the European Union.
• Wageningen University & Research: Contributes research data and forecasts related to agricultural production and trends.

Commodity Exchanges

Real-time and historical pricing data from commodity exchanges are crucial for Vesper’s data aggregation.

• Chicago Board of Trade (CBOT): Provides data on grain, livestock, and other agricultural commodities.
• CME Group: Offers detailed pricing data on various products, including commodity futures and options.
• Intercontinental Exchange (ICE): Delivers extensive data on agricultural products, energy, and metals from exchanges in Europe and the US.
• Dalian Commodity Exchange (DCE): Provides market data on agricultural commodities and metals in China.

Additional Data Sources

Vesper also integrates data from publicly available sources and on-the-ground reports.

• Eurostat: Offers detailed statistics on trade flows, production, and consumption within the EU.
• World Bank: Publishes reports on global commodity markets, offering insights into production and trade trends.
• Global Dairy Trade (GDT): Provides auction prices for dairy products, offering insights into market trends.

Importing and Combining Data

Vesper employs advanced technologies and methodologies to import and combine data from these diverse sources.

API Integrations

APIs play a critical role in Vesper’s data import process.

1. Automated Data Imports: APIs enable seamless and automated data imports, ensuring Vesper always has access to the latest information.

Visualising Data

Data visualisation is a crucial aspect of Vesper’s methodology, making complex data easy to understand and use.

Interactive Dashboards

Vesper offers interactive dashboards that allow users to visualise data trends, compare historical and current data, and generate custom reports.

1. Trend Analysis: Users can visualise price trends over time, helping them understand market movements.
2. Comparative Analysis: Dashboards enable users to compare data across different commodities, regions, or time periods.

Example:

• Price Comparison: Users can compare the price of white sugar in Thailand, China, and the US within one dashboard, providing a clear view of regional price differences and market conditions.

Custom Reports

Vesper provides customisable reporting tools that allow users to generate detailed reports based on their specific requirements.

1. Data Filters: Users can filter data by commodity, region, time period, and other variables to generate tailored reports.
2. Export Options: Reports can be exported in various formats (e.g., PNG, SVG, JPEG) for easy sharing and analysis.

Ensuring Data Accuracy and Reliability

Vesper employs several methods to ensure the accuracy and reliability of its data.

Cross-Referencing Data

Data from multiple sources is cross-referenced to verify consistency and accuracy.

• Multi-Source Verification: Ensures that the data is reliable by comparing it with data from other reputable sources like USDA, GDT, and ICE.

Regular Data Audits

Regular audits help maintain data quality by identifying and correcting errors.

• Data Cleansing: Regular audits ensure that the data remains accurate and up-to-date by removing inaccuracies and inconsistencies.

Ongoing Communication with Stakeholders

Continuous communication with industry stakeholders ensures a well-rounded and up-to-date data pool.

1. Active Validation: Involves receiving additional inputs and feedback to reflect all sides of the market.
2. Continuous Feedback: Stakeholders provide ongoing feedback, helping Vesper refine its data collection and validation processes.

Publishing Data

Vesper publishes the Vesper Price Index and other data with a frequency tailored to each commodity, ensuring users receive precise, market-representative prices.

Example:

• Vesper Price Index (VPI): The VPI is published regularly (multiple times daily, daily, or weekly) to provide users with up-to-date price benchmarks that reflect the latest market conditions.

Conclusion

Vesper’s methodology for gathering data for commodity intelligence is comprehensive and robust. By aggregating data from diverse primary data sources, summarising it into meaningful insights, visualising it through intuitive dashboards, and ensuring its accuracy through rigorous quality control, Vesper provides users with reliable and actionable commodity intelligence.

For businesses looking to stay ahead in the commodity markets, leveraging Vesper’s sophisticated data collection and processing methods can provide a significant advantage. With its commitment to accuracy, innovation, and user-friendly reporting, Vesper is a valuable tool for navigating the complex world of commodity trading and decision-making.