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      • INCOTERMS delivery terms

      INCOTERMS delivery terms

      INCOTERMS delivery terms

      Incoterms are international rules that delineate the responsibility between the buyer and seller for the risk associated with the products delivery.

      There are 11 INCOTERMS terms for 2021:

      • Group E (self-delivery.): EXW;
      • Group F (the buyer pays for transportation): FCA, FAS, FOB;
      • Group C (the seller pays for transportation): CPT, CIP, CFR, CIF;
      • Group D (delivery): DAP, DPU, DDP.

      List of INCOTERMS delivery conditions:

      1. EXW - the buyer picks up the products from the seller at the place of manufacture - self-delivery.
      2. FCA - the seller must clear the products for export and load them into the transport provided by the buyer. The buyer must give the seller, through the carrier, a document on the shipment of products for VAT reimbursement.
      3. FAS - the seller must deliver the products to the pier and place them in front of the specified ship. The buyer accepts the products and loads them.
      4. FOB - the seller loads the cargo and places it on the ship, after which the responsibility passes to the buyer.
      5. CFR - the seller loads the cargo, places it on the ship and delivers it to the destination port. Once the cargo has been placed on the ship, the responsibility passes to the buyer. Cargo insurance is provided by the buyer.
      6. CIF - as CFR, the seller clears the products for export, loads and transports the cargo.
      7. CPT - the seller clears the products for export. He is responsible for loading and shipping the products. The responsibility then passes to the buyer, but shipping is paid by the seller. The seller is not obliged to conclude an insurance contract.
      8. CIP - the seller is responsible for cleaning the products for export, he loads, transports and unloads the cargo, after which the responsibility passes to the buyer. Cargo insurance is provided by the buyer.
      9. DPU (formerly DAT) - the seller is responsible for cleaning the products for export, he transports and unloads the cargo at the terminal, then the responsibility for the cargo passes to the buyer. It is not the seller's responsibility to insure the cargo.
      10. DAP - The seller clears the products for export, transports it, and makes it available to the buyer for unloading, after which the responsibility for the cargo passes to the buyer. It is not the seller's responsibility to insure the cargo.
      11. DDP - the seller clears the products for export and delivers it to the place specified by the buyer. Then he unloads and clears the products. It is not the seller's responsibility to insure the cargo.
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