1. If raw materials need to be purchased, then in order to avoid the risks brought by rising raw materials. According to your own production and operation plan, you can buy multiple futures orders with corresponding time and quantity step by step. When raw materials rise, futures orders can be closed to hedge the risks in the spot market.
2. If you need to sell goods, then in order to avoid the risks brought by the decline of goods to the business operation. You can sell a corresponding number of futures orders in advance, so that if the commodity price falls, you can flatten the futures orders and hedge the risk of the spot market with the profit of futures.