According to HKAS 41, contract prices are not necessarily relevant in determining fair value, because fair value reflects the current market in which a willing buyer and seller would enter into a transaction. As a result, the fair value of a biological asset or agricultural produce is not adjusted because of the existence of a contract. In some cases, a contract for the sale of a biological asset or agricultural produce may be an onerous contract, as defined in HKAS 37 Provisions, Contingent Liabilities and Contingent Assets. HKAS 37 applies to onerous contracts.