Defaults Are In The News Again

Remember the recent stories of Indian palm oil buyers defaulting on purchases from Malaysia and Indonesia after prices halved?

Up to thirty Indian importers were subsequently blacklisted after delaying or defaulting and/or trying to renegotiate lower prices.

Well, now it seems that India too is on the receiving end, with Indonesia, amongst others getting their own back.

Reuters are reporting of South Korean, Vietnamese and Indonesian buyers all defaulting on soymeal purchases from India after prices plunged from around $450-500 to under $300/tonne now.

"The time has come to differentiate between good trade partners and bad trade partners," said one Indian exporter.

Quite right too.