Types of Countertrade .Countertrade includes four distinct transactions: barter, compensation deals, counterpurchase, and buy-back. Barter is the direct exchange of goods between two parties in a transaction. For example. the Malaysian government bought 20 diesel-electric locomotives from General Electric. Officials of the government said that GE will be paid with palm oil to be supplied by a plantation company. The company will supply about 2 metric tons of oil over a period of 30 months. This was GE's first b deal for palm palm products, although its division GE Trading has several other countertrade agreements worldwide. No money changed hands, nor were any third parties involved. Obviously, in a barter transaction, the seller must be able to dispose of the goods at a net price equal to the expected selling price in a regular. for cash transaction. Further, during the negotiation stage of a barter deal, the seller must know the market and the price for the items offered in trade. In the General Electrical example, palm oil has an established price and a global market for palm oil and palm products. But not all bartered goods have an organized market and products can range from hams to iron pellets, mineral water, furniture, or olive oil-all somewhat more difficult to price and to find customers.