Icoterms

ICOTERMS

Specify who is responsible for each activity (including documentation) and at what point should be made during the exchange of goods

Delineate the distribution of expenditures by activities to be performed; this is to help determine who pays for what and what point in the exchange of goods.

Define the time the responsibility for the risks and coverage is transferred from seller to purchaser.

Viewed another way, the INCOTERMS determined in the relationship contract of sale:

• The price range

• When and where it occurs the

• transfer risks to

• merchandise to the seller

• buyer

• The place of delivery of the goods

• Who hires and pays transportation

• Who hires and pays the insurance

• What documents and processes all part

• Cost

EX WORKS (EXW)

• The buyer is responsible for performing load

• The seller must provide all Documents for export

• Be careful, because when This Incoterm used L / C or credit documentary, monitoring cannot be

• This Incoterms specifically regulation contradicts the agreement CMR, which stipulates that the seller you should always load land vehicle

• Lab our legislation can also force the seller to carry the load vehicle.

FREE CARRIER (FCA)

• The seller is responsible for loading goods in the vehicle floor or winery.

• The delivery point depends on what agreed between buyer and seller, but always in the country of origin seller (FCA factory, main FCA carrier, FCA port container terminal, FCA airport).

• The delivery is always on board some vehicle type, and the buyer is responsible for the loading FCA delivery in port container terminal.

• Should consider hiring insurance slice up the main carrier if applicable.

• It is recommended that instead of FCA ExWorks.

• You can agree delivery anywhere origin place.

FREE ALONG SIDESHIP (FAS)

• Delivery is a country of origin; Seller leaves the property in the spring load ("Alongside Ship").

• Use is recommended for loading bulk or general cargo, not due used for containerized cargo.

• The equivalent load FAS container should be:

• FCA spring (for whole containers) terminal.

• Should consider hiring insurance slice up the main carrier if applicable.

• It is recommended that instead of FCA ExWorks.

• You can agree delivery anywhere origin place.

FREE ON BOARD (FOB)

• Delivery is a country of origin, allowing the load in the vessel. Main change: there is no concept "Overboard", the load must be "On board the vessel ", on board and deposited in the vessel to be FOB consider.

• It is recommended to use only for ocean freight, especially for cargo general or bulk. It should not be used Container.

• The equivalent load FOB for container would be:

o FCA or cargo tank (for consolidate cargo) terminal or FCA (for containers integers).

COST & FREIGHT (CFR)

• The seller pays for the primary freight boat, but the risk is assumed by the purchaser.

• Purchaser must determine whether to purchase insurance for goods in accordingly.

• Delivery is in the country of origin, when the seller gives the load carrier.

• Recommended only for load maritime, should not be used with containers.

• The equivalent

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