Glossary of Bulk Oil Terms


Posted by Alexa Ketterling

Aug 8, 2018 4:07:14 PM

A reservation of product, for example bulk oils, for a period in the future.  A contract locks in supply availability within a particular time frame, as well as pricing (though sometimes, it locks in just one portion of the pricing, for example, only the board or only the basis).  Contracts include terms and conditions that spell out when the inventory is to be taken, and penalties for not following the planned delivery schedule or paying invoices.