 |
 |
|
|
|
|
 |
EXW |
|
 |
EX WORKS(..named place) |
|
| |
"Ex works" means that
the seller delivers when he places the goods at the
disposal of the buyer at the seller's premises or another
named place(i. e.
works, factory, warehouse, etc.) not cleared for export and
not loaded on any
collecting vehicle.
This term thus represents the minimum obligation for the seller,
and the buyer
has to bear all costs and risks involved in taking the goods
from the seller's
premises.
However, if the parties wish the seller to be responsible
for the loading of the
goods on departure and to bear the risks and all the costs
of such loading, this
should be made clear by adding explicit wording to this effect
in the contract
of sale. This term should not be used when the buyer cannot
carry out the export formalities directly or indirectly. |
|
|
|
|
FOB |
|
|
FREE ON BOARD(・named port
of shipment) |
|
| |
Free On Board means that the
seller delivers when the goods pass the ship's rail at the
named port of shipment. This means that the buyer has to bear
all costs and risks of loss of or damage to the goods from
that point.
The FOB term requires the seller to clear the goods for export.
|
|
|
|
|
CFR |
|
|
COST AND FREIGHT (・named port
of destination) |
|
| |
Cost and Freight means that the
seller delivers when the goods pass the ship's
rail in the port of shipment.
The seller must pay the costs and freight necessary to bring
the goods to the
named port of destination BUT the risk of loss of or damage
to the goods, as well as any additional costs due to events
occurring after the time of delivery, are transferred from
the seller to the buyer.
The CFR requires the seller to clear the goods for export. |
|
|
|
|
CIF |
|
|
COST, INSURANCE AND FREIGHT(・named
port of destination) |
|
| |
Cost, Insurance and Freight means
that the seller delivers when the goods pass the ship's rail
in the port of shipment. The seller must pay the costs and
freight necessary to bring the goods to the named port of
destination BUT the risk of loss of or damage to the goods,
as well as any additional costs due to events occurring after
the time of delivery, are transferred from the seller to the
buyer. However, in CIF the seller also has to procure marine
insurance against the buyer's risk of loss of or damage to
the goods during the carriage.
Consequently, the seller contracts for insurance and pays
the insurance premium.
The buyer should note that under the CIF term the seller is
required to obtain
insurance only on minimum cover. Should the buyer wish to
have the protection of greater cover, he would either need
to agree as much expressly with the seller or to make his
own extra insurance arrangements.
The CIF term requires the seller to clear the goods for export. |
|
|
|
|
DDU |
|
|
DELIVERED DUTY UNPAID(・named
place of destination) |
|
| |
Delivered duty unpaid means that
the seller delivers the goods to the buyer, not cleared for
import, and not unloaded from any arriving means of transport
at the named place of destination. The seller has to bear
the costs and risks involved in bringing the goods thereto,
other than, where applicable, any "duty(which term includes
the responsibility for and the risks of the carrying out of
customs formalities, and the payment of formalities, customs
duties, taxes and other charges) for import in the country
of destination. Such "duty" has to be borne by the
buyer as well as an costs and risks caused by his failure
to clear the goods for import in time.
However, if the parties wish the seller to carry out customs
formalities and bear
the costs and risks resulting therefrom as well as some of
the costs payable upon import of the goods, this should be
made clear by adding explicit wording to this effect in the
contract of sale. |
|
|
|
|
DDP |
|
|
DELIVERED DUTY PAID(・named
place of destination) |
|
| |
"Delivered duty paid"
means that the seller delivers the goods to the buyer,
cleared for import, and not unloaded from any arriving means
of transport at the named place of destination. The seller
has to bear all the costs and risks involved in bringing the
goods thereto including, where applicable, any "duty"(which
term includes the responsibility for and the risk of the carrying
out of customs formalities and the payment of formalities,
customs duties, taxes and other charges) for import in the
country of destination.
Whilst the EXW term represents the minimum obligation for
the seller, DDP
Represents the maximum obligation.
This term should not be used if the seller is unable directly
or indirectly to
obtain the import licence.
However, if the parties wish to exclude from the seller's
obligations some of the
costs payable upon import of the goods(such as value added
tax : VAT), this
should be made clear by adding explicit wording to this effect
in the contract of
sale. If the parties wish the buyer to bear all risks and
costs of the import, the DDU term should be used.
|
|
|
|
|
 |
|
|