Incoterms

Incoterms (International Commercial Terms) are a set of international trade terms established by the International Chamber of Commerce (ICC). These terms are designed to standardize the responsibilities and obligations of sellers and buyers in international contracts for the sale of goods. EXW (Ex Works): The seller makes the goods available for pick-up at their premises. The buyer bears all costs and risks from that point onwards. FCA (Free Carrier): The seller delivers the goods, cleared for export, to the carrier nominated by the buyer. CPT (Carriage Paid To): The seller pays for the carriage of the goods to the named destination; risk transfers once handed to the first carrier. CIP (Carriage and Insurance Paid To): Like CPT, plus the seller procures insurance for the buyer's risk. DAP (Delivered at Place): The seller delivers, cleared for import, to the named place; buyer unloads. DPU (Delivered at Place Unloaded): The seller delivers and unloads at the named place. DDP (Delivered Duty Paid): The seller delivers to the named destination, cleared for import, paying all duties and taxes; buyer only unloads. FAS (Free Alongside Ship): The seller delivers alongside the vessel at the named port of shipment. FOB (Free On Board): The seller delivers on board the vessel; risk transfers once goods are on board. CFR (Cost and Freight): The seller pays carriage to the named port of destination; risk transfers once on board. CIF (Cost, Insurance, and Freight): Like CFR, plus the seller procures insurance for the buyer's risk.