Commercial Terms

The term (carriage fares paid up to….) means that the seller fulfills his obligation to deliver when he delivers the goods to the carrier appointed by him, but, in addition, the seller must pay the necessary expenses

To carry the goods to the designated place of destination, and this means that the buyer bears all risks and other expenses arising after the goods have been delivered in this way.

The term “carrier” in the contract of carriage means any person who undertakes to perform or authorizes another person to carry out the carriage, whether by rail, land, sea, air or inland waterways, or by various means of these kinds.

If several carriers successively transport the goods to the agreed destination, the risks pass to the buyer when the goods are delivered to the first carrier. This term requires the seller to clear the goods for export.

This term can be used on any mode of transport, including multimodal transport.

The term (carriage and insurance wages paid up to…) means that the seller fulfills his obligation to deliver when he delivers the goods to the carrier appointed by him, but, in addition to that, the seller must pay the costs

necessary to transport the goods to the designated place of destination. This means that the buyer bears all risks and other expenses incurred after the goods have been delivered in this way.

However, the seller also termed “CIP” must take out insurance against risks of loss or damage to the goods during transit (which is the responsibility of the buyer). That is, the seller as a result concludes a contract

insurance and pay for it. The buyer must note that the seller under this term (CIP) is obligated to make insurance within the limits of minimum coverage only, and if the buyer desires greater insurance protection, he must either agree

On that with the seller with the required clarity, or accomplish the required insurance addition himself. The term “carrier” in the contract of carriage means any person who undertakes to carry out, or authorizes another person to carry out, the carriage process, whether by rail, land, air, sea, inland waterways or by various means of these types.

If several carriers successively transport the goods to the agreed destination, the risks pass to the buyer when the goods are delivered to the first carrier.

This CIP term requires the seller to clear the goods for export. This term can be used on any mode of transport, including multimodal transport. DAF Frontier Delivery (Designated Place of Delivery) The term (frontier delivery) means that the seller fulfills his obligation to deliver when he places the goods at the buyer's disposal on board the means of transport arriving at the point or place designated before the zone customs at the borders of a country

Arrival, unloaded from the means of transport, loyal to export but not faithful to import. The expression (border) can be used for any borders, including the borders of the country of export. It is therefore very important to delineate the respective limits precisely, by always naming the point and place in the term.

If the parties wish that the seller be responsible for unloading the goods from the arriving means of transport and that he bear the risks and expenses of unloading, this must be clarified by adding specific words to this effect to the contract.

This term is used in all forms of transport when the goods are to be delivered at a land border, but when delivery is to be made at a port of destination, on board a ship or on a wharf, it must be used

DES Delivery on vessel (designated port of destination)

The term “delivery on ship” means that the seller fulfills his obligation to deliver when he places the goods at the disposal of the buyer on board the ship at the designated port of destination not cleared for import, and the seller has to bear

All expenses and risks involved in bringing the goods to that particular port, prior to their disembarkation, and if the parties wish the seller to bear the risks and expenses of downloading the goods, the term DEQ shall be used.

This term is used only in the cases of sea transport, inland waterway transport, or intermodal transport on boats within the port of destination.

The term (delivery on the dock) means that the seller fulfills his obligation to deliver, when he places the goods at the disposal of the buyer, not faithful to import, on the dock at the designated port of arrival. The seller shall bear all costs and risks arising from the delivery of the goods to that named port and from the unloading of the goods to the wharf. This term requires the buyer to clear the goods for import and to

Pays the expenses of all procedures, fees, taxes and any other expenses related to import.

This paragraph represents a reversal of the previous Incoterms texts, which placed the duty of clearing the goods for import on the seller.

If the parties wish that the duties of the seller include the payment of import expenses, in part or in whole, this must be made clear by adding specific words to this effect to the sales contract.

This term is used only for goods delivered by sea, inland waterway transport or multimodal transport when the goods are unloaded from the ship to the dock at the port of destination. Except that, if you wish

The parties that the seller's duties include the risks and expenses of delivering the goods from the dock to another place (warehouse, arrival station, transport station ... etc.) inside or outside the port, the term DDU or DDP must be used.

The term “delivery and duty unpaid” means that the seller fulfills his obligation to deliver when he delivers the goods to the buyer unclassified for import and unloaded from the means of transport arriving at the designated place of destination. and the seller shall bear the costs and risks involved in bringing the goods to that place, except, where applicable, “duties” for importing the goods into the country of destination (this term “duties” means the responsibility and risk of completing and paying customs formalities and paying customs duties, taxes and other charges), These fees must be borne by the buyer in addition to any expenses and risks arising from his failure to clear the goods customs for import at the specified time. However, if the parties wish that the seller complete the customs procedures and bear the risks and expenses of that, in addition to some expenses that must be paid when importing the goods, this must be clarified by adding specific words to this effect in the sales contract.

This term can be used regardless of the mode of transport, but when the goods are to be delivered at the port of destination on board the ship or on the wharf, the term DES or DEQ must be used.

The term “delivery and duty paid” means that the seller fulfills his obligation to deliver when he hands over the goods to the buyer, cleared for import, unloaded from the conveyance arriving at the designated place of destination.

The seller shall bear all costs and risks arising from the delivery of the goods to that place, including “duties” for importing the goods into the country of destination, where applicable (this term “duties” means the responsibility and risk of completing and paying customs formalities and paying duties, taxes and other expenses).

Whereas the term EXW reflects the seller's minimum commitment, the DDP term reflects the seller's maximum commitment and should not be used if the seller is unable to obtain a license.

Import directly or indirectly.

However, if the parties wish to exclude from the seller's obligations some expenses that are paid when importing the goods (such as value-added tax: VAT), this must be clarified by adding specific words to this effect to the sales contract.

If the parties wish the buyer to bear the risk and expense of importation, the term DDU should be used.

This term can be used regardless of the mode of transport, but when the goods are to be delivered on board the ship at the port of destination or on the wharf, the term DES or DEQ must be used

The term “delivery on board” means that the seller fulfills his obligation to deliver when the goods pass the ship's rail at the designated port of shipment. This means that the buyer must bear all costs and risks of loss or damage to the goods from that point on.

Also, this term requires the seller to clear the goods for export.

This term is used only in the cases of sea transport or transport by inland waterways only.

Where the parties' intention is not to deliver the goods after the ship's rail, the term FCA must be used.

This term means that the seller fulfills his obligation to deliver when the goods pass the ship's rail at the port of shipment.

The seller shall pay the expenses and freight necessary to bring the goods to the named port of destination, but the risk of loss or damage to the goods, as well as the responsibility for any additional expenses arising from events occurring after the date of delivery, pass from the seller to the buyer. This term requires the seller to clear the goods for export. This term is used only in the cases of sea transport and transport by inland waterways only.

Where the parties' intention is not to deliver the goods after the ship's rail, the term CPT must be used.

This term means that the seller fulfills his obligation to deliver when the goods pass the ship's rail at the port of shipment.

The seller shall pay the expenses and freight necessary to bring the goods to the designated port of destination

However, the risk of loss or damage to the goods, as well as the responsibility for any additional expenses resulting from events occurring after the date of delivery, pass from the seller to the buyer. However, the seller must also take out marine insurance against risks of loss and damage to the goods during transit (which is the responsibility of the buyer). That is, the seller, as a result, concludes the insurance contract and pays its cost. The buyer should note that the seller under this term (CIF),

He is obliged to carry out insurance within the limits of the minimum coverage only, and if the buyer desires greater insurance protection, he must either agree on that with the seller with the required clarity,

Or accomplish the required insurance addition by himself. This term requires the seller to clear the goods for export. This term is used only in the cases of sea transport and transport through inland waterways only, and if the intention of the parties here is not to deliver after passing the ship's barrier, the term CIP must be used.

The term “factory or factory land delivery” means that the seller fulfills his obligation to deliver when he places the goods at the buyer’s disposal at the seller’s premises

Such as (workshop-factory-warehouse…..etc) or in another specific place, not certified (for export) and not loaded on the means of transport sent by the buyer

to receive the goods. Thus this term represents the seller's minimum obligation, and the buyer has to bear all the expenses and risks involved in receiving the goods in this way. However, if the parties wish the seller to bear the responsibility of loading the departing goods

And the risks and expenses of this load, this must be clarified by adding specific words in this sense to the sales contract. This term shall not be used if the buyer cannot complete the export formalities directly or indirectly,

In this case, the term FCA shall be used, provided that the seller has agreed to load the goods at his expense and responsibility.

The term “carrier delivery” means that the seller fulfills his obligation to deliver when he delivers the goods,

Faithful to export, to the carrier designated by the buyer and at the designated place. It should be noted that the process of choosing the place of delivery will have an impact on determining the obligations of loading and unloading at that place. If the delivery takes place in the land of the seller, then the seller becomes responsible for the loading.

If the delivery takes place elsewhere, the seller will not be responsible for unloading the goods. This term can be used for any mode of transport, including multimodal transport.

The term “carrier” in a contract of carriage means any person who undertakes to perform, or authorizes another person to carry out, the operation of carriage, whether by rail, land, sea, air, inland waterways, or by various means of these kinds. If the buyer appoints another person,

other than the carrier, to take delivery of the goods, the seller will be deemed to have fulfilled his obligation to deliver the goods, when they have been delivered to that person.

The term “ship-side delivery” means that the seller fulfills his obligation to deliver when the goods are placed ship-side at the designated port of shipment.

This means that the buyer assumes all costs and risks of loss or damage to the goods from that moment on.

This FAS term requires the seller to clear the goods for export.

This paragraph represents a reversal of texts

The previous INCOTERMS that placed the obligation to clear the goods for export on the buyer. However, if the parties wish the buyer to clear the goods for export, this must be made clear by adding specific words to this effect to the sales contract. This term is only used in

Both cases are sea transport and through inland waterways.