1. The Plaintiffs are the canalizing agents of the Government of India for import and supply of foreign cotton to several Indian Textile Mills. The Defendants carry on business of a textile mill.

2. Pursuant to the circular issued by the Plaintiffs in respect of availability of cotton from various countries which would be shipped to India, the Defendant s registered their offer to purchase cotton from Mexico, Guatemala, Nicaragua and Brazil. The Plaintiffs issued their permission /quot a letter for specified bales of cotton to the Defendants. The parties entered into a contract bearing No.G-444 in respect of the shipment import and supply of the cotton from the aforesaid 4 countries specified therein. The parties similarly entered into another contract in respect of further offer of the Defendants for certain cotton from Turkey, of which specified bales were permitted under the Plaintiffs Contract No.G- 511. Both the contracts are identical. They are marked Exhibits D and H in evidence. The rights and obligations of the parties under those two written contracts would have to be considered upon interpretation of the contracts admittedly executed by the parties.

3. The good