Incoterms 2000 provides Preambles explaining the function of each Incoterm. These are reproduced in full for visitors to this website. For example, the Preamble to
FAS Free Alongside Ship states that under FAS the seller delivers when the goods are placed alongside the vessel at the named port of shipment. "The buyer has to bear all costs and risks of loss of or damage to the goods from that moment."
Click on any of the 13 terms listed below and read a concise definition from the Preambles to Incoterms 2000. Several of the Preambles, marked below with an
*, include a footnote referring to the Introduction. Click anywhere on those pages to view the relevant part of the Introduction. Please note that the terms will appear on your screen in read–only format and so cannot be copied or printed.
EXW Ex Works (...named place)* [PDF file, 2 pages]
The seller delivers when he places the goods at the disposal of the buyer at the seller’s premises or another named place...
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FCA Free Carrier (...named place) [PDF file, 1 page]
The seller delivers the goods, cleared for export, to the carrier nominated by the buyer at the named place...
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FAS Free Alongside Ship (...named port of shipment)* [PDF file, 2 pages]
The seller delivers when the goods are placed alongside the vessel at the named port of shipment...
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FOB Free On Board (...named port of shipment) [PDF file, 1 page]
The seller delivers when the goods pass the ship’s rail at the named port of shipment...
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CFR Cost and Freight (...named port of destination) [PDF file, 1 page]
The seller delivers when the goods pass the ship’s rail in the port of shipment...
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CIF Cost, Insurance, and Freight (...named port of destination)* [PDF file, 4 pages]
The seller delivers when the goods pass the ship’s rail in the port of shipment...
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CIP Carriage and Insurance Paid To (...named place of destination)* [PDF file, 4 pages]
The seller delivers the goods to the carrier nominated by him but the seller must in addition pay...
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CPT Carriage Paid To (...named place of destination) [PDF file, 1 page]
The seller delivers the goods to the carrier nominated by him but the seller must in addition pay...
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DAF Delivered At Frontier (...named place)* [PDF file, 2 pages]
The seller delivers when the goods are placed at the disposal of the buyer on the arriving means of transport not unloaded...
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DES Delivered Ex Ship (...named port of destination) [PDF file, 1 page]
The seller delivers when the goods are placed at the disposal of the buyer on board the ship not cleared for import at the...
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DEQ Delivered Ex Quay (...named port of destination)* [PDF file, 2 pages]
The seller delivers when the goods are placed at the disposal of the buyer not cleared on the quay (wharf) at the...
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DDU Delivered Duty Unpaid (...named place of destination)* [PDF file, 3 pages]
The seller delivers the goods to the buyer, not cleared for import, and not unloaded from any arriving means of transport at the...
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DDP Delivered Duty Paid (...named place of destination)* [PDF file, 3 pages]
The seller delivers the goods to the buyer, cleared for import, and not unloaded from any arriving means of transport at the...
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