The article refers to the company "Coburn Tool Corporation". It produces machines of different sizes, as well as parts, mechanisms, valves. Previously, she was a major supplier of the whole world. But the dollar began to decline and because of the crisis in different countries, the company's sales began to fall.
The main market for the company was Brazil, but sales in this country for 3 years fell by 3.5 times. The company was offered a unique offer from the Brazilian commodity broker Companhia Internacional de Comercio, S.A. (CIC).
Terms of the transaction: in exchange for $ 400,000 in assorted gear, Coburn will receive the equivalent in Brazilian shoes that it could sell on the US market.
Pros of the transaction:
- market access
- currency exchange and pricing.
Conclusion: A barter deal can help both sides to resolve the current situation.