Incoterms 2010

RULES FOR ANY MODE OF TRANSPORT:

ExWorks (EXW): the seller fulfills his obligations by having the goods available for the buyer to
pick up at his premises or another named place (i.e. factory, warehouse, etc.). Buyer bears all risk
and costs starting when he picks up the products at the seller’s location until the products are
delivered to his location. Seller has no obligation to load the goods or clear them for export.

Free Carrier (FCA):  the seller delivers the goods export cleared to the carrier stipulated by the
buyer or another party authorized to pick up goods at the seller’s premises or another named
place. Buyer assumes all risks and costs associated with delivery of goods to final destination
including transportation after delivery to carrier and any customs fees to import the product into a
foreign country.

Carriage Paid To (CPT): seller clears the goods for export and delivers them to the carrier or
another person stipulated by the seller at a named place of shipment. Seller is responsible for the
transportation costs associated with delivering goods to the named place of destination but is not
responsible for procuring insurance.

Carriage and Insurance Paid To (CIP): seller clears the goods for export and delivers them to
the carrier or another person stipulated by the seller at a named place of shipment. Seller is
responsible for the transportation costs associated with delivering goods and procuring minimum
insurance coverage to the named place of destination.

Delivered at Terminal (DAT): seller clears the goods for export and bears all risks and costs
associated with delivering the goods and unloading them at the terminal at the named port or
place of destination. Buyer is responsible for all costs and risks from this point forward including
clearing the goods for import at the named country of destination.

Delivered at Place (DAP): seller clears the goods for export and bears all risks and costs
associated with delivering the goods to the named place of destination not unloaded. Buyer is
responsible for all costs and risks associated with unloading the goods and clearing customs to
import the goods into the named country of destination.

Delivered Duty Paid (DDP): seller bears all risks and costs associated with delivering the goods
to the named place of destination ready for unloading and cleared for import.


RULES FOR SEA AND INLAND WATERWAY TRANSPORT:

Free Alongside Ship (FAS): seller clears the goods for export and delivers them when they are
placed alongside the vessel at the named port of shipment. Buyer assumes all risks/costs for
goods from this point forward.

Free on Board (FOB): seller clears the goods for export and delivers them when they are
onboard the vessel at the named port of shipment. Buyer assumes all risks/cost for goods from
this moment forward.

Cost and Freight (CFR): seller clears the goods for export and delivers them when they are
onboard the vessel at the port of shipment. Seller bears the cost of freight to the named port of
destination. Buyer assumes all risks for goods from the time goods have been delivered on board
the vessel at the port of shipment.

Cost, Insurance, and Freight (CIF): seller clears the goods for export and delivers them when
they are onboard the vessel at the port of shipment. Seller bears the cost of freight and insurance
to the named port of destination. Seller’s insurance requirement is only for minimum cover. Buyer
is responsible for all costs associated with unloading the goods at the named port of destination
and clearing goods for import. Risk passes from seller to buyer once the goods are onboard the
vessel at the port of shipment.
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