INCOTERMS

In order to avoid problems due to the different commercial practices, the international chamber of commerce public for the first time in 1936 a series of international rules for interpretation of commercial terms, INCOTERMS.

Here the commercial terms (INCOTERMS):

  • • EXW "EX WORK"

    The seller binds to put at the disposal of the buyer in his establishment or place been convenient (factory, workshop, store, etc.), without completing it for the export.

  • • FCA "FREE CARRIER"

    The seller delivers the goods and it her does business for the export to the transporter named by the buyer in convenient place.

  • • FAS "FREE ALONGSIDE SHIP"

    The delivery of the goods is realized when it is placed by the seller to the side of the nose in convenient shipping port.

  • • FOB "FREE ON BOARD"

    The seller has the obligation to load the goods on board of the nose in the shipping port specified in the contract of sale. The buyer selects the nose and pays the maritime freight.

  • • CFR "COST AND FREIGHT"

    The seller pays the expenses of transport and necessary others in order that the goods come to convenient port.

  • • CIF "COST, INSURANCE AND FREIGHT"

    The seller pays the expenses of transport in addition, has to contract and to pay the premium of the maritime insurance of coverage of the loss or hurt of the goods during the transport.

  • • CPT "CARRIAGE PAID TO…"

    The seller contracts and pays the freight of transport of the goods up to the place of been convenient destination.

  • • CIP "CARRIAGE AND INSURANCE PAID TO…"

    The seller contracts and pays the freight of transport of the goods up to the place of destination been convenient in addition it must contract the insurance and pay the corresponding premium.

  • • DAP "DELIVERED AT PLACE"

    It means that the seller does delivery of the goods in the approved place, positions at the disposal of the buyer in the way of transport ready for his unload.

  • • DAT "DELIVERED AT TERMINAL"

    It means that the seller delivers the goods in the approved terminus (airport, port, etc.), put at the disposal of the buyer in the terminus, unloaded of the means of transport in which it arrives.

  • • DDP "DELIVERED DUTY PAID"

    In this term the seller realizes the delivery of the goods to the buyer, completed for the import and not unloaded of the means of transport at his arrival to convenient place. The seller assumes all the expenses and risks, included rights, taxes and other loads for taking the goods up to that place, once completed in customs for the import.

  • • DES "DELIVERED EX SHIP"

    The goods are set by the seller to the buyer on board the vessel at the port of destination, without actually dispatching it in customs for import. The seller bears the costs and risks of transporting the goods to the port of destination, but not the download. Only used when the transport is by sea.

  • • DEQ "DELIVERED EX QUAY"

    The seller fulfills his obligation to deliver when the goods are placed at the disposal of the buyer on the quay and once unloaded at the port of destination. This term is required to perform the customs clearance of goods for import buyer. It is only used in shipping.

  • • DDU "DELIVERED DUTY UNPAID"

    The seller delivers the goods to the buyer at the named place in the country of the buyer, not cleared for customs import and not unloaded from the means of transport, on arrival at that location. The DDU term can be used in any mode of transportation. The seller has to bear all costs and risks involved in bringing the goods to the named place. The buyer has to pay any additional costs and bear the risk if unable to clear the goods for import in due time.

  • • DAF "DELIVERED AT FRONTIER"

    The seller fulfills his obligation when the goods once dispatched to customs for export delivery to the point and place of the border, before passing the customs border of the adjoining country, and without liability to download. It is vital to be precisely defined term "frontier".