Know The Task, Cost, and Risk Of Trade Terms
The Incoterms rules or International Commercial terms are a series of pre-defined commercial terms published by the International Chamber of Commerce (ICC) widely used in international commercial transactions. A series of three-letter trade terms related to common sales practices, the Incoterms rules are intended primarily to clearly communicate the tasks, costs and risks associated with the transportation and delivery of goods.
The Incoterms rules are accepted by governments, legal authorities and practitioners worldwide for the interpretation of most commonly used terms in international trade. They are intended to reduce or remove altogether uncertainties arising from different interpretation of the rules in different countries.
DAT - Delivered At Terminal
DAP - Delivered At Place
CPT - Carriage Paid To
CIP - Carriage And Insurance Paid To
CIF - Cost, Insurance and Freight
CFR - Cost and Freight
FOB - Free On Board
FCA - Free Carrier
FAS - Free Alongside Ship
EXW - Ex-Work
DDP - Delivered Duty Paid