If I were the sugar purchasers, I would not require renegotiation of the purchase price when the world price had fallen . Firstly, though the world price dropped, but the agreement between the two sides did not mention if any problems like this occur, the two sides would renegotiate the purchasing price so Australian has the absolute right to reject the discount. Secondly, when looking at the overall picture, in this period, Japan economy had developed rapidly , so purchasing sugar at the price of the deal which is a little expensive than the current price would not be such a big problem when the growth rate of real GDP of Japan was higher than that of the other advanced industrial countries. Finally, in international trade when offering
