INCOTERMS 2010 - The INCOTERMS (International Commercial Terms) is a universally recognized set of definitions of international trade terms, defining the respective roles of the buyer and seller in the arrangement of transportation and other responsibilities and clarify when the ownership of the merchandise takes place. They are used in conjunction with a sales agreement or other method of transacting the sale.

TERMS FOR ALL TRANSPORT MODE

  • EXW - Ex Works -- Title and risk pass to buyer including payment of all transportation and insurance cost from the seller's door. Used for any mode of transportation.

  • FCA - Free Carrier -- Title and risk pass to buyer including transportation and insurance cost when the seller delivers goods cleared for export to the carrier. Seller is obligated to load the goods on the Buyer's collecting vehicle; it is the Buyer's obligation to recieve the Seller's arriving vehicle unloaded.

  • CPT - Carriage Paid To -- Title, risk and insurance cost pass to buyer when delivered to carrier by seller who pays transportation cost to destination. Used for any mode of transportation.

  • CIP - Carriage and Insurance Paid To --Title and risk pass to buyer when delivered to carrier by seller who pays transportation and insurance cost to destination. Used for any mode of transportation.

  • DAT - Delivered At Terminal -- Title and risk pass to buyer when seller delivers and unloads goods at named terminal. Used for any mode of transportation.

  • DAP - Delivered At Place -- Title and risk pass to buyer when seller delivers goods to named place ready for unloading. Used for any mode of transportation.

  • DDP - Delivered Duty Paid -- Title and risk pass to buyer when seller delivers goods to named destination point cleared for import. Used for any mode of transportation.

    TERMS FOR SEA/INLAND WATERWAY TRANSPORT ONLY

  • FAS - Free Alongside Ship --Title and risk pass to buyer including payment of all transportation and insurance cost once delivered alongside ship by the seller. Used for sea or inland waterway transportation. The export clearance obligation rests with the seller.

  • FOB - Free On Board and risk pass to buyer including payment of all transportation and insurance cost once delivered on board the ship by the seller. Used for sea or inland waterway transportation.

  • CFR - Cost and Freight -- Title, risk and insurance cost pass to buyer when delivered on board the ship by seller who pays the transportation cost to the destination port. Used for sea or inland waterway transportation.

  • CIF - Cost, Insurance and Freight -- Title and risk pass to buyer when delivered on board the ship by seller who pays transportation and insurance cost to destination port. Used for sea or inland waterway transportation.

    Transport Obligations, costs and risks
    INCOTERMSCarriage of GoodsRisksCosts
    EXW Carriage to be arranged by the buyer Risk transfer from the seller to the buyer when the goods are at the disposal of the buyer Cost transfer from the seller to the buyer when the goods are at the disposal of the buyer
    FCA Carriage to be arranged by the buyer or the seller on the buyer's behalf Risk transfer from the seller to the buyer when the goods have been delivered to the carrier at the named place Cost transfer from the seller to the buyer when the goods have been delivered to the carrier at the named place
    CPT Carriage to be arranged by the seller Risk transfer from the seller to the buyer when the goods have been delivered to the carrier Cost transfer at port of destination, buyer paying such costs as are not for the seller's account under the contract of carriage
    CIP arriage and insurance to be arranged by the seller Risk transfer from the seller to the buyer when the goods have been delivered to the carrier Cost transfer at port of destination, buyer paying such costs as are not for the seller's account under the contract of carriage
    DAT Carriage to be arranged by the seller Risk transfer from the seller to the buyer when the goods are delivered and unloaded at terminal Cost transfer from the seller to the buyer when the goods are delivered and unloaded at terminal
    DAP Carriage to be arranged by the seller Risk transfer from the seller to the buyer when the goods are delivered to named place ready for unloading Cost transfer from the seller to the buyer when the goods are delivered at named place ready for unloading
    DDP Carriage to be arranged by the seller Risk transfer from the seller to the buyer when the goods are placed at the disposal of the buyer Cost transfer from the seller to the buyer when the goods are placed at the disposal of the buyer
    FAS Carriage to be arranged by the buyer Risk transfer from the seller to the buyer when the goods have been placed alongside the ship Cost transfer from the seller to the buyer when the goods have been placed alongside the ship
    FOB Carriage to be arranged by the buyer Risk transfer from the seller to the buyer when the goods pass the ship's rail Cost transfer from the seller to the buyer when the goods pass the ship's rail
    CFR Carriage to be arranged by the seller Risk transfer from the seller to the buyer when the goods pass the ship's rail Cost transfer at port of destination, buyer paying such costs as are not for the seller's account under the contract of carriage
    CIF Carriage and insurance to be arranged by the seller Risk transfer from the seller to the buyer when the goods pass the ship's rail Cost transfer at port of destination, buyer paying such costs as are not for the seller's account under the contract of carriage





  • Copyright © 1999-2013 Foreign Trade On-Line
    All rights reserved.  Privacy Statement
    Please read important copyright notices and disclaimers information.