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Word

commodity

noun C1
UK /kəˈmɒdəti/
US /kəˈmɑdəti/

Meanings

noun

a basic, widely traded product or raw material

commodity: a basic, widely traded product or raw material
noun

something useful, valuable, or desirable, especially something that is hard to get

commodity: something useful, valuable, or desirable, especially something that is hard to get

Definition

A commodity is a basic product or raw material that is bought and sold, often in large quantities.

A commodity is a standard, widely traded good such as oil, wheat, coffee, or metals. It is usually produced by many suppliers and is valued mainly for its type and quality rather than its brand. Commodities are commonly used as inputs for other products or as essentials for daily life.

Examples

  • Oil is a commodity whose price can shift dramatically after a major geopolitical event.
  • She analyzed how a commodity like wheat moves from farms to global markets.
  • They treated reliable internet access as a commodity that not everyone can take for granted.
  • I learned that coffee is a commodity traded in massive volumes long before it reaches my cup.

Common mistake

Learners often confuse commodity with product and forget that a commodity is typically standardized and traded in bulk rather than being a branded item.