The Incoterms rules are terms, three letters each, reflecting the standards of voluntary acceptance by two -buyer and seler- parties regarding the terms of delivery of goods, products. Are used to clarify the costs of international business transactions, defining responsibilities between buyer and seller and reflect current practice in the international freight.

INCOTERMS-2020-CCF

EXW : Ex Work (place). Any means of transportation. The seller delivers when the goods available to the buyer at the seller’s premises or another named place not cleared for export and not loaded on any collecting vehicle.

FCA : Free Carrier (named place). Any means of transportation. The seller delivers the goods, cleared for export, to the carrier nominated by the buyer at the named place. Seller is not responsible for the discharge if it occurs off campus.

FAS : Free Alongside Ship (named port of shipment). Transport by sea and waterways. The seller delivers when the goods are placed alongside the vessel at the port of shipment. The seller is the one who shipped the goods for export.

FOB : Free on Board (named port of shipment). Transport by sea and waterways. The seller delivers when the goods pass the ship’s rail at the port of shipment.

CPT : Carriage Paid To (named place of destination). The seller delivers the goods to the carrier nominated by him but also must pay the costs of carriage necessary to bring the goods to the agreed destination. Buyer assumes all risks and any other costs occurring after the goods have been so delivered. The CPT requires the seller to clear the goods for export. This term may be used irrespective of the mode of transport including multimodal transport.

CIP : Carriage and Insurance Payment To (named place of destination). The seller delivers the goods to the carrier nominated by him but also must pay the costs of carriage necessary to bring the goods to the agreed destination. The seller also has to procure insurance against the risk borne by the buyer, the loss or damage to the goods during transport. Buyer assumes all risks and any other costs occurring after the goods have been so delivered. The CPT requires the seller to clear the goods for export. This term may be used irrespective of the mode of transport including multimodal transport.

CFR : Cost and Freight (named port of destination). Transport by sea and waterways. The seller delivers when the goods pass the ship’s rail at the port of shipment. The seller must pay the costs and freight to the port of destination but the risk of loss is transferred from the seller to the buyer once delivery made??.

CIF : Cost, Insurance and Freight (named port of destination). Transport by sea and waterways. CIP for any type of transportation. The seller delivers when the goods pass the ship’s rail at the port of shipment. The seller must pay the cost, insurance and freight to the port of destination but the risk of loss is transferred from the seller to the buyer once delivery made??.

DES : Delivered Ex Ship (named port of destination). Transport by sea and waterways. The seller delivers when the goods are placed at the disposal of the buyer on board the ship at the port of destination not cleared for import.

DEQ : Delivered Ex Quay (named port of destination). Transport by sea and waterways. The seller delivers when the goods are placed at the disposal of the buyer on the quay of the port of destination not cleared for import.

DDU : Delivered Duty Paid (named place of destination). Any means of transportation. The seller delivers when the goods available to the buyer not cleared for import and not unloaded from the means of transport at the place of destination.

DDP : Delivered Duty Paid (named place of destination). Any means of transportation. The seller delivers when the goods available to the buyer on the means of transport not unloaded at the named place of destination, cleared for importation.