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Countertrade Costs

It should be emphasised that countertrade is very often a high cost way of trading compared with conventional trade, and it is important that the costs and benefits of particular deals should be carefully weighed. It is sometimes argued that countertrade involves no incremental costs over and above the costs involved in conventional trade. Although this may be true in particular cases, it is important to know which additional costs may be incurred through countertrade so that checks can be made.

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