Delivery clauses

DELIVERY CLAUSES (Incoterms) Incoterms regulates a large part of the terms of the international sales contract and the obligations of the parties. Each delivery clause fixes the obligations of the seller, in other words: which seller’s costs are included in the sales contract price. The price of the same product may vary greatly depending on the delivery terms used.

EXW (Ex Works) Loading location determined, used for all types of transportation, the seller makes the goods available for the buyer at the seller’s or other premises, the seller is not responsible for the goods export customs clearance or loading. The buyer bears all risks and costs associated with or following the loading of goods from the place named by the seller.

FCA (Free Carrier) Loading location determined, used for all types of transportation, the seller delivers the goods (to the carrier) to the place named by the buyer, the seller is also responsible for the export customs clearance. If loading occurs at seller’s premises, the seller is responsible for loading. If loading occurs at the carrier’s premises, the seller is responsible for loading, but not for unloading.

CIP (Carriage and Insurance Paid To) Place of loading determined at the destination, used for all types of transportation, the seller is responsible for the transportation and the costs to the named destination, and the export customs clearance. The seller also contracts for insurance in favour of the buyer.

CPT (Carriage Paid) Place of loading determined at the destination, used for all types of transportation, the seller is responsible for organisation of transportation and costs to the destination, as well as export customs clearance.

DAF (Delivered at Frontier) Place of loading determined at the destination, used for all types of transportation, the seller is responsible for organisation of transportation and costs to the border, export customs clearance, unloaded goods on the border.

DDU (Delivered Duty Unpaid) Place of loading determined at the destination, used for all types of transportation. Buyer has to bear the cost of import customs clearance, and import duties and taxes, while seller is responsible for all other charges

 DDP (Delivered Duty Paid) Place of loading determined at the destination, used for all types of transportation, the seller is responsible for organising the transportation and its cost to the buyer’s location, as well as for the import customs clearance (incl. state fees, licenses). The buyer bears the unloading costs.