Inco Terms.

Inco :

EXW-Ex works

The seller makes the goods available at his/her premises. The buyer is responsible for uploading. This term places the maximum obligation on the buyer and minimum obligations on the seller. The Ex Works term is often used when making an initial quotation for the sale of goods without any costs included. EXW means that a seller has the goods ready for collection at his premises (works, factory, warehouse, plant) on the date agreed upon. The buyer pays all transportation costs and also bears the risks for bringing the goods to their final destination. The seller does not load the goods on collecting vehicles and doesn't clear them for export. If the seller does load the goods, he does so at buyer's risk and cost. If parties wish seller to be responsible for the loading of the goods on departure and to bear the risk and all costs of such loading, this must be made clear by adding explicit wording to this effect in the contract of sale.

Services

Named place of delivery

Export-Customs declaration	Buyer
Carriage to port of export	Buyer
Unloading of truck in port of export	Buyer
Loading charges in port of export	Buyer
Carriage (Sea Freight/Air Freight) to port of import	Buyer
Unloading charges in port of import	Buyer

Services

Named place of delivery

Insurance	Buyer
Loading on truck in port of import	Buyer
Carriage to place of destination	Buyer
Import customs clearance	Buyer
Import taxes	Buyer

FCA - Free Carrier

The seller delivers goods, cleared for export, to the buyer-designated carrier at a named and defined location. This is used for any mode of transport. The seller must load goods onto the buyer's carrier. The key document signifying transfer of responsibility is receipt by carrier to exporter.

Services

Named place of delivery

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export	Buyer
Loading charges in port of export	Buyer
Carriage (Sea Freight/Air Freight) to port of import	Buyer
Unloading charges in port of import	Buyer

Services

Named place of delivery

Insurance	Buyer
Loading on truck in port of import	Buyer
Carriage to place of destination
Import customs clearance
Import taxes

CPT - Carriage Paid To

The seller pays for carriage. Risk transfers to buyer upon handling goods over to the first carrier at place of shipment in the country of export. This term is used for all kind of shipments.

Services

Named place of Destination

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export	Seller
Loading charges in port of export	Seller
Carriage (Sea Freight/Air Freight) to port of import	Seller
Unloading charges in port of import	Buyer

Services

Named place of Destination

Insurance	Buyer
Loading on truck in port of import	Buyer
Carriage to place of destination	Buyer
Import customs clearance	Buyer
Import taxes	Buyer

CIP - Carriage & Insurance Paid To

The seller pays for carriage. Risk transfers to buyer upon handling goods over to the first carrier at place of shipment in the country of export. This term is used for all kind of shipments.

Services

Named place of Destination

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export	Seller
Loading charges in port of export	Seller
Carriage (Sea Freight/Air Freight) to port of import	Seller
Unloading charges in port of import	Seller

Services

Named place of Destination

Insurance	Sellar
Loading on truck in port of import	Buyer
Carriage to place of destination	Buyer
Import customs clearance	Buyer
Import taxes	Buyer

DAT - Delivered at Terminal

Seller pays for carriage to the terminal, except for costs related to import clearance, and assumes all risks up to the point that the goods are unloaded at the terminal.

Services

Named terminal at port or place of destination

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export
Loading charges in port of export	Buyer
Carriage (Sea Freight/Air Freight) to port of import
Unloading charges in port of import

Services

Named terminal at port or place of destination

Insurance
Loading on truck in port of import
Carriage to place of destination
Import customs clearance
Import taxes

DAT - Delivered at Terminal

Seller pays for carriage to the named place, except for costs related to import clearance, and assumes all risks prior to the point that the goods are ready for unloading by the buyer. Import clearance = import duty and VAT and not the Import Customs Clearance.

Services

Named place of destination

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export	Seller
Loading charges in port of export	Seller
Carriage (Sea Freight/Air Freight) to port of import	Seller
Unloading charges in port of import	Seller

Services

Named place of destination

Insurance	Seller
Loading on truck in port of import	Seller
Carriage to place of destination	Seller
Import customs clearance	Buyer
Import taxes	Buyer

DDP - Delivered Duty Paid

Seller is responsible for delivering the goods to the named place in the country of the buyer, and pays all costs in bringing the goods to the destination including import duties and taxes. The seller is not responsible for unloading. This term is often used in place of the non-Incoterm "Free In Store (FIS)". This term places the maximum obligations on the seller and minimum obligations on the buyer.

Services

Named place of destination

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export	Seller
Loading charges in port of export	Seller
Carriage (Sea Freight/Air Freight) to port of import	Seller
Unloading charges in port of import	Seller

Services

Named place of destination

Insurance	Seller
Loading on truck in port of import	Seller
Carriage to place of destination	Seller
Import customs clearance	Seller
Import taxes	Seller

FAS - Free Alongside Ship

The seller must place the goods alongside the ship at the named port. The seller must clear the goods for export. Suitable only for maritime transport but NOT for multimodal sea transport in containers. This term is typically used for heavy-lift or bulk cargo.

Services

Named port of shipment

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export	Seller
Loading charges in port of export	Buyer
Carriage (Sea Freight/Air Freight) to port of import	Buyer
Unloading charges in port of import	Buyer

Services

Named port of shipment

Insurance	Buyer
Loading on truck in port of import	Buyer
Carriage to place of destination	Buyer
Import customs clearance	Buyer
Import taxes	Buyer

FOB-Free on Board

The seller must load the goods on board a vessel designated by the buyer. Cost and risk are divided when the goods are actually on board of the vessel. The seller must clear the goods for export. The term is applicable for maritime and inland waterway transport only but NOT for multimodal sea transport in containers. The buyer must instruct the seller the details of the vessel and the port where the goods are to be loaded, and there is no reference to, or provision for, the use of a carrier or forwarder. This term has been greatly misused over the last three decades ever since Incoterms 1980 explained that FCA should be used for container shipments. It means the seller pays for transportation of goods to the port of shipment, loading cost. The buyer pays cost of marine freight transportation, insurance, uploading and transportation cost from the arrival port to destination. The passing of risk occurs when the goods pass the ship"s rail at port of shipments.

Services

Named port of shipment

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export	Seller
Loading charges in port of export	Seller
Carriage (Sea Freight/Air Freight) to port of import	Buyer
Unloading charges in port of import	Buyer

Services

Named port of shipment

Insurance	Buyer
Loading on truck in port of import	Buyer
Carriage to place of destination	Buyer
Import customs clearance	Buyer
Import taxes	Buyer

CFR - Cost and Freight

Seller must pay the costs and freight to bring the goods to the port of destination. However, risk is transferred to the buyer once the goods are loaded on the vessel. Insurance for the goods is NOT included. This term is formerly known as CNF (C&F, or C+F). Maritime transport only.

Services

Named port of destination

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export	Seller
Loading charges in port of export	Seller
Carriage (Sea Freight/Air Freight) to port of import	Seller
Unloading charges in port of import	Seller

Services

Named port of destination

Insurance	Buyer
Loading on truck in port of import	Buyer
Carriage to place of destination	Buyer
Import customs clearance	Buyer
Import taxes	Buyer

CIF - Cost, Insurance and Freight

Exactly the same as CFR except that the seller must in addition procure and pay for the insurance. Maritime transport only.

Services

Named port of destination

Export - Customs declaration	Seller
Carriage to port of export	Seller
Unloading of truck in port of export	Seller
Loading charges in port of export	Seller
Carriage (Sea Freight/Air Freight) to port of import	Seller
Unloading charges in port of import	Seller

Services

Named port of destination

Insurance	Seller
Loading on truck in port of import	Buyer
Carriage to place of destination	Buyer
Import customs clearance	Buyer
Import taxes	Buyer