consider anumberoffactors. Onefactoristhesizeandtypeofthe transaction beingcontemplated. Forexample, wherethecountertrade commitment islargeandinvolves aseriesofshipments, moretimewould normally beneededforfulfilment ofthecountertrade commitment thanifthe transaction wererelatively small. Wherethecountertrade agreement defines thecountertrade goodsinbroadterms,itmay bethatalongerfulfilment periodwouldbeneededinordertoallowtimeforidentifying suitable countertrade goods. Thequality ofthecountertrade goodsmayaffectthe lengthofthefulfilment period. Thebetterthequality, themorelikelyit willbethatthepurchaser willeitherbeabletomarketorusethem in-house, thusallowing ashorter fulfilment period. 20. Insomecases,thelengthofthefulfilment periodissetsothatit extends beyondthedatewhenpaymentisdueundertheexportcontract. Such anapproach wouldallowtheexporter timetofulfilthecountertrade commitment afterpayment undertheexportcontract isdue.Insuchacaseit isintheinterest oftheimporter toinclude inthecountertrade agreement effective sanctions forbreachofthecountertrade commitment. 21. Theparties mayagreethatthefulfilment periodfortheshipment in onedirection istobeofthesamelengthasthefulfilment periodforthe shipment intheotherdirection. Suchanapproach maybeappropriate when no particular importance isattached totheorderoftheshipments inthetwo directions (e.g.,countertrade carried outwithintheframework ofasetoff account (chapter IX,"Payment", paragraphs 35to52)oranevidence account (paragraphs 38to44below». Suchanapproach mayalsobeappropriate ina•A/CN.9/332/Add.8 English Page7 counter-purchase transaction inwhichthecounter-importer isprepared to beginfulfilling thecountertrade commitment without waiting tobepaidunder theexportcontract. 22. Thefulfilment periodshouldbeofasufficient lengthtotakeinto accountdifficulties thesupplier mayencounter inmakingthecountertrade goodsavailable. Ifthegoodsarenotmadeavailable intime,thepurchaser couldobjecttotheexercise bythesupplier ofremedies fornon-fulfilment ofthecountertrade commitment by claiming thatnon-fulfilment was due to unavailability ofthegoods.Ifthepurchaser isentitled toselectthe goodsfrom alistofeligible countertrade goods,thelengthoftimeneeded tomakeavailable eachofthedifferent goodslistedshouldbetakeninto account calculating thelengthofthefulfilment period. 2.Extension offulfilment period 23. Theparties mayrequire moretimetofulfilthecountertrade commitment thanprovided bythecountertrade agreement. Forexample, a purchaser mayencounter unanticipated difficulties inutilizing orreselling thegoodstobepurchased. Asupplier mayhavedifficulties inmakingagreed upongoodsavailable onschedule. 24. The law applicable tothecountertrade agreement mayprovide foran extension ofthetimeallowed fortheperformance ofaparty's contractual obligations intheeventthatthepossibility ofperformance isaffected by circumstances beyondthecontrol ofthatparty. Theparties maywishto include inthecountertrade agreement clauses addressing suchsituations (see chapter XIII,paragraphs to,foradiscussion ofexemption andhardship clauses). 25. Thecountertrade agreement mayprovide thatanextension wouldbe grantedifthepartyseeking anextension hasmade good faithefforts to fulfilthecommitment. Itisadvisable thatsuchaprovision indicate how thepurchaser coulddemonstrate goodfaithefforts. Forexample, inan indirect offset,itmay beprovided thatthepurchaser wouldhavetoshow a certain numberofcontacts withpotential suppliers insearchofsuitable countertrade goods. Thecountertrade agreement mayalsoprovide thata supplier whowasunabletomakegoodsavailable duetocircumstances specified inthecountertrade agreement wouldbeentitled toanextension. Suchcircumstances mayinclude, forexample, lateness ofthepurchaser'S orderorchanges inthepurchaser's specifications. Theparties mayagree thatapartycouldrequest anextension ofthefulfilment periodonlyifthat partyhadfulfilled aportion ofthecountertrade commitment. 26.Ifthefulfilment ofthecountertrade commitment issupported by a guarantee, itisadvisable thattheparties provide thattheperiodofthe guarantee shouldbeextended tocoveranextension ofthefulfilment period (seechapter XII,"Security forperformance", paragraphs 33 and34).
**Analysis**
The text appears to be discussing the logistics and contractual aspects of countertrade agreements, specifically the fulfillment period and potential extensions. The language used is formal and technical, suggesting a focus on international trade and commerce. The text also touches on the potential for unforeseen circumstances and the need for flexibility in the agreement.

**Category**
International trade