Incoterms 2010 – Global Trade Rules

Incoterms (International Commercial Terms) are globally accepted trade rules published by the ICC. These standardized terms define responsibilities, costs, and risks between buyers and sellers.

Seller Responsibilities Matrix

Term Loading on Transport Export Declaration Transport to Port Unloading at Port Loading in Port Transport to Destination Insurance
EXWNoNoNoNoNoNoNo
FOBYesYesYesYesYesNoNo
CIFYesYesYesYesYesYesYes
DDPYesYesYesYesYesYesNo

*This table highlights key transfer points. Specific nuances apply to each term.

Any Mode of Transport

  • EXW – Ex Works
  • CPT – Carriage Paid To
  • CIP – Carriage and Insurance Paid To
  • DAT – Delivered at Terminal
  • DAP – Delivered at Place
  • DDP – Delivered Duty Paid

Sea & Waterway

  • FAS – Free Alongside Ship
  • FOB – Free on Board
  • CFR – Cost and Freight
  • CIF – Cost, Insurance and Freight

Detailed Explanation

EXW – Ex Works

The seller makes the goods available at their premises. The buyer bears all costs and risks from that point onward.

DAT – Delivered at Terminal

The seller delivers goods, unloaded, at a named terminal. Seller bears risks until unloading is complete.

DDP – Delivered Duty Paid

The seller takes full responsibility including transport, clearance, and duties.

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