In the last few blogs, we highlighted various factors that concern sea freight, payment terms and responsibilities between buyers and sellers. We’re highlighting the rest of the IncoTerms in this blog, to ensure that you have an all-round view of the ins and outs of all transport modes for whatever your freight forwarding requirement is.
Here are the rest
| IncoTerm | SELLER | BUYER | |
| EXW
|
Ex
Works
|
All costs up to goods placed for pickup at buyer’s disposal | All costs from loading from warehouse of sellers |
| FCA
|
Free
Carrier |
All costs up to delivery to carrier at mutually agreed upon location between Buyer & Seller
Includes customs clearance (at origin) |
All costs from handover to carrier
Excludes customs clearance (at origin)
|
| CPT
|
Carriage
Paid To |
All costs up to delivery to carrier at mutually agreed upon location between Buyer & Seller
Excludes customs clearance and insurance (at origin) |
All costs after delivery to mutually agreed upon location between Buyer & Seller
Includes customs clearance (at destination) Transportation and insurance for whole carriage |
| CIP
|
Carriage
and Insurance Paid to |
All costs up to delivery at mutually agreed upon location between Buyer & Seller
Includes customs clearance (at origin) |
All costs after delivery to mutually agreed upon location between Buyer & Seller
Includes customs clearance (at destination) Transportation and insurance after delivery |
| DAT
|
Delivered
At Terminal |
All costs up to delivery to terminal mutually agreed upon location between Buyer & Seller
Pick up ready Excludes customs clearance (at destination) |
All costs after delivery to terminal
Includes customs clearance (at destination) |
| DAP
|
Delivered
At Place |
All costs up to delivery to past the terminal,
Mutually agreed between Buyer & Seller Pick up ready Excludes customs clearance |
All costs after delivery from past the terminal
Mutually agreed between Buyer & Seller Includes customs clearance |
| DDP
|
Delivered
Duty Paid |
All costs up to delivery to past the mutually agreed point between Buyer & Seller
Includes customs clearance, duties, VAT |
All costs after point of delivery mutually agreed between Buyer & Seller
|
For the rest of the IncoTerms to cover all the transport modes, refer to our previous blog “IncoTerms Rules across the Scope of Buyer and Seller for Sea Freight Transactions” , or the following infographic.
