The rules on delivery terms known as Incoterms were first established in 1936 by the International Chamber of Commerce (ICC) . Incoterms are updated periodically as needs change; the latest update took effect on 1 January 2020.
EXW teslim şekli en basit anlamıyla, İhracatçı firmanın, kendi ticari işletmesinde satın alınan malları, ithalatçının belirlemiş olduğu nakliyeciye teslim etmesidir.
All costs and risks arising from the exporter’s door onwards — such as inland transport in the exporting country, loading, export customs clearance, freight (international transport charges), insurance, unloading and import customs clearance — are borne by the buyer (importer).
A sales term under which the exporter is obliged to deliver the goods, cleared for export, to the carrier appointed by the buyer (importer) at a mutually agreed place.
The exporter pays the export customs clearance costs and any inland transport costs up to the place of delivery, and delivers the goods to the importer’s carrier. In international trade, the party paying the freight has the right and responsibility to choose the carrier. For this reason, under FCA the carrier is usually a company appointed by the importer (buyer). If needed, to help the importer, the exporter may appoint a company, provided that the transport charges are paid by the importer.
The importer should be aware that it bears all costs for goods delivered to the carrier, such as international transport charges (freight), insurance, unloading on arrival in its own country, customs duties and inland transport.
This means that the exporter delivers the goods sold at the port where the agreed ship is berthed, on the agreed date. Costs up to the port, including inland transport in the exporting country, are borne by the exporter.
All costs after delivery at the port — such as export loading costs and risks at the port, and the freight (international transport charges) payable to the carrier — are borne by the importer.
Under FAS, the exporter brings the goods to the port of departure, pays the inland transport costs in its own country, carries out customs clearance and delivers the goods to the carrier appointed by the importer.
A delivery term under which the exporter ensures that the goods covered by the contract are loaded on board the ship at the agreed port on the agreed date, and bears all costs and risks up to that point.
Under FOB, the exporter essentially pays the inland transport costs between its premises and the port, as well as customs clearance and loading costs at the port. Costs such as freight and insuring the goods against international transport risks are deemed to be borne by the importer.
A delivery term under which the exporter brings the goods covered by the sales contract to the port of departure, clears them through customs, loads them on board and also pays the transport charges up to the port of destination. Responsibility for insuring the goods against damage during transport lies with the importer.
According to the rules set out in the INCOTERMS publication prepared by the International Chamber of Commerce, CFR is used only for sea transport. For other modes such as air, road and rail, the CPT term described below should be used.
This means that the exporter brings the export goods to the port of departure, clears them through customs, loads them on board, and bears the cost of insurance as well as the freight up to the port of destination.
CIF is the most controversial delivery term and is often misunderstood in the market. Under this term, the exporter pays the freight up to the port of destination for the goods loaded on board and also arranges the insurance. However, paying the freight and arranging insurance does not mean that the place of delivery is the country of destination. The exporter has simply taken on the cost of these processes and priced the goods accordingly from the outset.
This is why, in agreements based on CIF, the importer should be very careful and aware that the risk it bears is insured by the exporter. It is therefore advisable to ask the exporter to take out insurance that covers all risks.
This means that the exporter clears the goods through customs, loads them and delivers them to the carrier at departure, with freight paid up to the agreed destination.
The basic logic and operation of CPT are no different from CFR. The only difference is that this term is used for air, road and rail transport. According to this point, which is little known in the market but important legally, CFR is used only in sea transport, while CPT is used for other modes of transport.
A delivery term under which the exporter loads the goods and delivers them to the carrier with freight paid and insurance arranged up to the agreed destination.
In terms of its basic logic and operation, CIP is similar to CIF. However, CIF is used in sea transport, while CIP is used for other modes of transport (air, road, sea). We see that this point is also widely overlooked and little known in the market.
A delivery term under which the goods are delivered by the exporter, on behalf of the buyer, at an agreed point in the importing country, ready for unloading from the means of transport.
Under DAP, the place of delivery does not have to be the buyer’s warehouse; it can be any agreed point or place.
The exporter loads the goods, clears them through customs in its own country and unloads them at the place of destination (port, bonded warehouse, logistics terminal or the importer’s warehouse). Customs clearance, customs duties and other costs in the importer’s country are borne by the importer.
DPU can be used for all modes of transport. Transport costs are borne by the seller. There is no obligation to take out insurance.
A delivery term based on the exporter’s responsibility to deliver the goods to the importer’s warehouse at the agreed address, with import customs duties paid.
In terms of market practice, the place of delivery is usually set as the address of a warehouse or depot at the importer’s premises or in its country, and in this case DDP is used almost as the exact opposite of EXW.
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