Using Manuka Honey Forecasts for Trading Honey

April 2016, Author: Steve Howse

It has become common to trade mānuka honey based on a forecast of its future grade and quality. However, simply using the maximum future grade of the honey may not be the best way of valuing honey today. Its current value will be affected by things like the cost of carrying the honey while it ‘grows’, the risk of the honey being damaged while it ‘grows’, and its ability to be packed into a product that can be sold in high-value overseas markets.