Incoterms 2020
Incoterms are internationally recognised standard trade and delivery terms for international and domestic transactions.
EXW — Ex Works
The seller makes the packaged and marked goods available at the named place. The buyer collects them. The seller is not responsible for loading, export clearance or transport.
FCA — Free Carrier
The seller brings the goods to the named place, packages and checks them, and clears them for export. Loading obligations depend on the agreed place. The buyer organises the main carriage and transit and import formalities.
FAS — Free Alongside Ship
The seller packages the goods, transports them to the port of shipment named by the buyer and clears them for export. Delivery takes place alongside the vessel.
FOB — Free On Board
The seller delivers the goods on board the vessel at the named port of shipment and handles packaging and export clearance.
CFR — Cost and Freight
Delivery takes place on board the vessel. The seller pays the freight to the named destination port and handles packaging and export clearance.
CIF — Cost, Insurance and Freight
The seller has the same obligations as under CFR and also obtains cargo insurance at its own expense with minimum cover under Institute Cargo Clauses (C).
CPT — Carriage Paid To
The seller delivers the goods to the carrier it nominates and pays the carriage to the named destination, including packaging and export clearance.
CIP — Carriage and Insurance Paid To
The seller delivers to its nominated carrier and pays carriage to the named destination. It also obtains cargo insurance at its expense under Institute Cargo Clauses (A).
DAP — Delivered at Place
The seller delivers the goods on the arriving vehicle at the named destination, ready for unloading, and handles export clearance but not import clearance.
DPU — Delivered at Place Unloaded
The seller delivers the goods unloaded at the named destination port or place and handles export clearance.
DDP — Delivered Duty Paid
The seller bears the maximum obligations, including export and import clearance. It delivers the goods at the named destination on the arriving vehicle, not unloaded, and bears the costs and risks until arrival.