diff --git a/include/trade.h b/include/trade.h
index f12fc97b..6fe7da42 100644
--- a/include/trade.h
+++ b/include/trade.h
@@ -60,6 +60,7 @@ struct trdstr {
 extern int trade_check_ok(struct trdstr *, struct empobj *);
 extern char *trade_nameof(struct trdstr *, struct empobj *);
 extern int trade_desc(struct empobj *);
+extern int trade_has_unsalable_cargo(struct empobj *, int);
 extern int trade_getitem(struct trdstr *, union empobj_storage *);
 
 #define gettrade(n, p) ef_read(EF_TRADE, (n), (p))
diff --git a/src/lib/commands/set.c b/src/lib/commands/set.c
index b00eabfc..374fd5dd 100644
--- a/src/lib/commands/set.c
+++ b/src/lib/commands/set.c
@@ -116,6 +116,8 @@ set(void)
 		puttrade(ni_trade.cur, &trade);
 	    }
 	} else {
+	    if (trade_has_unsalable_cargo(&item.gen, 1))
+		return RET_FAIL;
 	    if (foundslot >= 0)
 		id = foundslot;
 	    else if (freeslot >= 0)
diff --git a/src/lib/global/item.config b/src/lib/global/item.config
index a1ac560e..91903390 100644
--- a/src/lib/global/item.config
+++ b/src/lib/global/item.config
@@ -27,7 +27,7 @@
 #   item.config: Item characteristics
 #
 #   Known contributors to this file:
-#      Markus Armbruster, 2006-2011
+#      Markus Armbruster, 2006-2012
 #
 #   Derived from item.c; no known contributors.
 #
@@ -45,7 +45,7 @@
 config item #          ineff  norm   ware   urban  bank
 uid mnem  val sell lbs pkg(0) pkg(1) pkg(2) pkg(3) pkg(4) melt name
   0  "c"    1    0   1     1     10     10     10     10     4 "civilians"
-  1  "m"    0    0   1     1      1      1      1      1    20 "military"
+  1  "m"    0    1   1     1      1      1      1      1    20 "military"
   2  "s"    5    1   1     1      1     10      1      1    80 "shells"
   3  "g"   60    1  10     1      1     10      1      1   100 "guns"
   4  "p"    4    1   1     1      1     10      1      1    50 "petrol"
diff --git a/src/lib/subs/trdsub.c b/src/lib/subs/trdsub.c
index 93391497..2d43f612 100644
--- a/src/lib/subs/trdsub.c
+++ b/src/lib/subs/trdsub.c
@@ -48,6 +48,7 @@
 #include "sect.h"
 #include "ship.h"
 #include "trade.h"
+#include "unit.h"
 #include "xy.h"
 
 int
@@ -171,6 +172,38 @@ trade_desc(struct empobj *tgp)
     return 1;
 }
 
+int
+trade_has_unsalable_cargo(struct empobj *tgp, int noisy)
+{
+    int ret, i, type;
+    short *item;
+    struct nstr_item ni;
+    union empobj_storage cargo;
+
+    ret = 0;
+    if (tgp->ef_type == EF_SHIP || tgp->ef_type == EF_LAND) {
+	item = tgp->ef_type == EF_SHIP
+	    ? ((struct shpstr *)tgp)->shp_item
+	    : ((struct lndstr *)tgp)->lnd_item;
+	for (i = I_NONE + 1; i <= I_MAX; i++) {
+	    if (item[i] && !ichr[i].i_sell) {
+		if (noisy)
+		    pr("%s carries %s, which you can't sell.\n",
+		       unit_nameof(tgp), ichr[i].i_name);
+		ret = 1;
+	    }
+	}
+    }
+
+    for (type = EF_PLANE; type <= EF_NUKE; type++) {
+	snxtitem_cargo(&ni, type, tgp->ef_type, tgp->uid);
+	while (nxtitem(&ni, &cargo))
+	    ret |= trade_has_unsalable_cargo(&cargo.gen, noisy);
+    }
+
+    return ret;
+}
+
 int
 trade_getitem(struct trdstr *tp, union empobj_storage *tgp)
 {