We are an Australian MNE with multiple business lines stretched across three continents. We produce agricultural products, including corn, wheat, barley, and Diary products including yoghurt, ice cream, and cheese. We export to four different countries including USA, China, Brazil, and Japan.We also import some ingredients for our production inventory such as vanilla, sweeteners, and also different types and classes of fertilisers and pest control chemicals from USA and China. Given that the RBA will probably start gently with a 0.15 of a percentage point increase to 0.25 per cent, also market economists tip the cash rate to be 1 per cent by the end of the year(Financial Review, 5Apr2022). We would like to know how and to what extent the cash rate hikes will impact us and what can we do to be safe, if there is any risk to our profit after the interest rate hikes, in short, medium , and long run?

Examine exchange rate risk exposure against all time intervals of : short term(less than 1 year), medium term(2-5 years), and long term(above 5 years)