Trade terms guide
Incoterms are not merely freight abbreviations. They define delivery, risk, transport, insurance and customs tasks, but they do not by themselves set title transfer or payment terms.
Container cargo often passes several terminal stages before vessel loading, making FCA clearer in many cases. FOB focuses on delivery on board at the named port and is for sea or inland waterway transport.
Under CIF the seller arranges freight and minimum insurance to the destination port, while risk transfers when goods are loaded on board at origin. It is a classic example of cost and risk changing at different points.
DAP delivers ready for unloading on the arriving vehicle. DPU includes unloading by the seller. DDP also places import clearance and duty or tax responsibility on the seller, subject to local legal ability.
No. Title and payment timing must be stated separately in the sales contract.
No. The seller arranges freight and insurance, but risk normally transfers on board at the origin port.
It can be convenient, but verify that the seller can legally import and pay local taxes and how those costs are built into the price.
Select mode and responsibility preferences to compare candidate terms and seller-buyer obligations at a glance.
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