Incoterms

Burhill Logistics Limited PD House Parker Avenue Felixstowe Suffolk IP11 4HF T: +44 (0) 1394 612000 F: +44 (0) 1394 673070 E: sales@burhilllogistics.com www.burhilllogistics.com

INCOTERMS 2012INCOTERMS are a set of three-letter standard trade terms most commonly used in international contracts for the sale of
goods. It is essential that you are aware of your terms of trade prior toshipment. • EXW – EX WORKS (… named place of delivery) The Seller’s only responsibility is to make the goods available at the Seller’s premises. The Buyer bears full costs and risks of moving the goods fromthere to destination. FCA – FREE CARRIER (… named place of delivery) The Seller delivers the goods, cleared for export, to the carrier selected by the Buyer. The Seller loads the goods if the carrierpickup is at the Seller’s premises. From that point, the Buyer bears the costs and risks of moving the goods to destination. CPT – CARRIAGE PAID TO (… named place of destination) The Seller pays formoving the goods to destination. From the time the goods are transferred to the first carrier, the Buyer bears the risks of loss or damage. CIP – CARRIAGE AND INSURANCE PAID TO (… named place ofdestination) The Seller pays for moving the goods to destination. From the time the goods are transferred to the first carrier, the Buyer bears the risks of loss or damage. The Seller, however, purchases thecargo insurance. DAT – DELIVERED AT TERMINAL (… named terminal at port or place of destination) The Seller delivers when the goods, once unloaded from the arriving means of transport, are placed atthe Buyer’s disposal at a named terminal at the named port or place of destination. “Terminal” includes any place, whether covered or not, such as a quay, warehouse, container yard or road, rail or aircargo terminal. The Seller bears all risks involved in bringing the goods to and unloading them at the terminal at the named port or place of destination. DAP – DELIVERED AT PLACE (… named place of...