EXW — Ex works — «Franco Factory»

Seller’s responsibilities:

1. Transfer the goods to the buyer at your warehouse.

Buyer’s responsibilities :

1. Pick up the cargo from the seller’s warehouse.
2. Load it onto the transport.
3. Insure the product.
4. Go through export customs formalities with payment of duties (if required).
5. Deliver the cargo to the destination country.
6. To undergo import customs clearance with payment of customs duties and fees.
7. Unload the goods at the buyer’s warehouse.

Transfer of risks from seller to buyer: as soon as the buyer has accepted the goods in the seller’s warehouse.

FCA — Free Carrier — «Free carrier»

Seller’s responsibilities:

1. Complete export customs formalities with payment of duties (if required).
2. Ship the goods to the carrier specified by the buyer.
3. Record the transfer of the goods in the transport documents.

Buyer’s responsibilities :

1. Insure the product.
2. Deliver the cargo to the destination country.
3. To undergo import customs clearance with payment of customs duties and fees.
4. Unload the goods at the buyer’s warehouse.

Transfer of risks from the seller to the buyer: when the goods are transferred to the carrier, after passing through customs procedures for export.

FAS — Free alongside ship — « Freely along the side »

(This basis is only suitable for deliveries by water transport.)

Seller’s responsibilities:

1. Go through export customs formalities with payment of duties (if required).
2. Deliver the goods to the board of the vessel specified by the buyer.

Buyer’s responsibilities :

1. Insure the product.
2. Load the goods onto the ship.
3. Deliver the cargo to the destination country.
4. Unload the goods at the port of destination.
5. To undergo import customs clearance with payment of customs duties and fees.

Transfer of risks from the seller to the buyer: when placing goods on the berth— along the side of the vessel.

FOB — Free on board — «Free on board»

(This basis is only suitable for deliveries by water transport.)

Seller’s responsibilities:

1. Go through export customs formalities with payment of duties (if required).
2. Deliver the goods to the port.
3. Load the goods onto the vessel specified by the buyer.

Buyer’s responsibilities :

1. Insure The Product.
2. Deliver the cargo to the destination country.
3. Unload the goods at the destination port.
4. To undergo import customs clearance with payment of customs duties and fees.

Transfer of risks from the seller to the buyer: after the goods have boarded the ship, this is recorded by a mark of acceptance in the bill of lading.

CFR — Cost & Freight — «Cost and freight»

Seller’s responsibilities:

1. Go through export customs formalities with payment of duties (if required).
2. Deliver the goods to the port.
3. Load the goods onto the ship.
4. Deliver to the buyer’s port.

Buyer’s responsibilities :

1. Insure the product.
2. Unload the goods at the destination port.
3. To undergo import customs clearance with payment of customs duties and fees.

Transfer of risks from the seller to the buyer: from the moment the cargo is placed on the ship.

CIF — Cost Insurance and Freight — « Insurance and freight »

Seller’s responsibilities:

1. Insure the cargo.
2. Go through export customs formalities with payment of duties (if required).
3. Deliver the goods to the port.
4. Load the goods onto the ship

Buyer’s responsibilities :

1. Unload the goods at the destination port.
2. To undergo import customs clearance with payment of customs duties and fees.

Transfer of risks from seller to buyer: when the seller has placed the cargo on the ship in the port.

CPT — Carriage Paid To — «Transportation is paid for before»

This basis is similar to CIP, except for one condition: the seller is not obliged to insure the cargo.

Seller’s responsibilities:

1. Complete export customs formalities with payment of duties (if required).
2. Load the goods onto the vehicle.
3. Deliver to the buyer

Buyer’s responsibilities :

1. Insure The Product.
2. To undergo import customs clearance with payment of customs duties and fees.
3. Unload the goods at the destination warehouse

Transfer of risks from seller to buyer: when the seller has shipped the goods to the carrier.

Carriage and Insurance Paid to — «Transportation and insurance are paid before»

Seller’s responsibilities:

1. Insure the cargo.
2. Go through export customs formalities with payment of duties (if required).
3. Load the goods onto the vehicle.
4. Deliver to the buyer.

Buyer’s responsibilities :

1. To undergo import customs clearance with payment of customs duties and fees.
2. Unload the goods at the destination warehouse.

Transfer of risks from seller to buyer: when the seller has shipped the goods to the carrier.

DPU — Delivered Named Place Unloaded — « Delivery to the place of unloading »

Seller’s responsibilities:

1. Go through export customs formalities with payment of duties (if required).
2. Load the goods onto the vehicle.
3. Deliver the goods to the buyer.
4. Insure the product.
5. Unload the goods at the warehouse specified by the recipient.

Buyer’s responsibilities :

1. To undergo import customs clearance with payment of customs duties and fees.

Transfer of risks from seller to buyer: after the seller has unloaded and handed over the goods to the buyer.

The DPU is the only basis where the seller’s obligation to unload the goods in the buyer’s country is provided. Accordingly, if something happens to the goods during unloading, the seller will be responsible.

DAP — Delivered At Point — « Delivery at the point »

Seller’s responsibilities:

1. Go through export customs formalities with payment of duties (if required).
2. Load the goods onto the vehicle.
3. Deliver to the buyer

Buyer’s responsibilities :

1. To undergo import customs clearance with payment of customs duties and fees.
2. Unload the goods at the destination warehouse

Transfer of risks from the seller to the buyer: when the goods are transferred to the buyer at the destination.

DDP — Delivered Duty Paid — «Delivery with payment of duties»

Seller’s responsibilities:

1. Go through export customs formalities with payment of duties (if required).
2. Load the goods onto the vehicle.
3. Deliver the goods to the buyer.
4. Insure the product.
5. To undergo import customs clearance with payment of customs duties and fees.

Buyer’s responsibilities :

1. Unload the goods at the destination warehouse

Transfer of risks from the seller to the buyer: after the customs clearance cargo is transferred to the buyer.