[4][3] Soft commodities play a major part in the futures market.
They are used by farmers wishing to lock-in the future prices of their crops, by commercial purchasers of the products, and by speculative investors seeking a profit.
The adjective "soft" is occasionally only applied to products that are classified as largely tropical, such coffee, chocolate, sugar, cotton, and orange juice.
Soft commodities have been known to adopt a backwardation trend until the late 1990s when futures were actively traded.
Speculation and investment requirements later shaped the common contango trend.