output contract

Definition of "output contract"
  1. An arrangement where a seller commits to selling all of its production to a specific buyer who commits to buying all of the output
How to use "output contract" in a sentence
  1. The distillery established an output contract with the retailer, promising to sell all its spirits.
  2. Car manufacturers usually have an output contract with their suppliers to maintain production levels.
  3. A farmer decided to enter an output contract with the grocery chain to secure a stable annual income.

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