How do Forward Markets work?

-On the Forward Markets, Contracts (Futures) are made at a Price Agreed Today, but for Delivery Later. -Futures help Firms who Export and Import Goods. They can 'Lock in' an Agreed, perhaps Favourable Exchange Rate between the Buyer's and Seller's Currencies. Certainty and Confidence can be Built -However, either Firm could be at a Disadvantage, depending on what occurs to the Exchange Rate. -You can also see Commodities occur in a Forward Market too - Price for a Future Coffee agreed in Advanced