Incoterms

Rangel makes availablfor online consultation the Incoterms that explain a set of conditions and commercial rules.
Primarily describes the tasks, costs and risks involved in delivering goods from sellers to buyers.
  • Costs
  • Risk
  • Insurance
  • All modes of transport
  • maritime
Description
Freight / Risk Transport
EXW EX WORKS
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Seller’s premises
Risk: Seller’s premises
Seller
Seller responsible for making the goods available at the seller’s premises.

Buyer

Buyer bears the full risk from there to destination.

FCA Free Carrier
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Freight handler
Risk: Freight handler
Seller
Seller responsible for delivery to the custody of carrier, identified by the buyer.

Buyer

Risk is transferred when loading has taken place.
CPT Carriage Paid To
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Destination
Risk: First freight handler
Seller delivers goods to the carrier at agreed place of delivery and pays transport to the named destination.

Risk is transferred at place of delivery, whereas seller pays for transport to the destination.
CIP Carriagem and Insurance Paid to
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Destination
Risk: First freight handler
Seller delivers goods to carrier at agreed place of delivery and pays for transport and insurance to named destination. 

Risk transfers at the place of delivery, whereas seller pays for transport and insurance to the destination.
DAT Delivered at Terminal
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Destination
Risk: Destination
Seller delivers goods unloaded at a specified place inside agreed terminal.

Risk is transferred as soon as goods have been unloaded.
DAP Delivered at Place
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Place of destination
Risk: Arriving means of transport at destination
Seller delivers goods to disposal of buyer on arriving means of transport, at agreed place.

Seller assumes risk until goods are made ready for unloading from the arriving means of transport.
DDP Delivered Duty Paid
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Destination
Risk: Destination
Seller responsible for bringing goods to the destination, paying any duty and making the goods available to buyer.

Risk transfers as soon as buyer has access to goods ready for unloading at agreed destination. 
FAS Free Alongside Ship
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Shipside in port of departure
Risk: Shipside in port of departure
Seller is responsible for delivery of goods at quay alongside the ship. 

From this point onwards, risk lies with buyer.
FOB Free on Board
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: On board ship
Risk: On board ship
Seller responsible for delivery of goods loaded on board the ship. 

Risk is transferred as soon as goods have been set down inside ship.
CFR Cost and Freight
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Port of destination
Risk: On board ship
Seller covers cost of freight, duty unpaid, to named port of destination. 

Risk is transferred as soon as the goods have been set down inside ship.
CIF Cost, Insurance and Freight
Seller
Buyer
Seller
Buyer
Seller
Buyer
Transport: Port of destination
Risk: Port of destination
Seller covers cost of insurance and freight, duty unpaid, to named port of destination.

Risk is transferred as soon as the goods have been set down inside ship. 


Incoterms® 2010 Download Here

Download PDF