Because standbys and demand guarantees often contain automatic extension clauses, ICC Opinion TA954 offers important lessons for practice and the need for sound drafting of such clauses.
In spite of government restrictions imposed in May 2022, wheat exports have since doubled due to pre-existing orders, the impact of the Russia-Ukraine war, and demand from countries that previously did not buy wheat from India, according Commerce Ministry sources as reported by India’s The Print.
One export official contends that government-to-government contracts already in place with LCs issued prior to the restrictions is the major reason for the spike.
