The coal industry faces an awkward trade-off with multiple different pressures on production and price. Major banks including Deutsche Bank and RBS have ceased lending for new mines and coal infrastructure, and coals significant contribution to the worlds’ total greenhouse gas emissions has provoked concern and even acrimony from the public and politicians alike. Moreover, China has born down on its domestic coal production in a drive to reduce its emissions and create renewables-based energy security for itself and its rising population. Nevertheless, the coal price has almost doubled in the past three years, and firms remaining in the sector with high-quality coal products continue to attract investment and realise healthy profits.

Firms engaged in international trade of commodities usually require more sophisticated financial products rather than simple credit facilities. This is due to the high capital amounts required to acquire and sell the high volumes firms need to work with to maintain profitability. This can create correspondingly lengthy trade cycles fraught with operational and financial risk. As such, in addition to our vanilla import and export credit facilities, Trade Finance Global can offer a range of bespoke structured commodity finance products to suit high-volume commodity traders’ specific needs.