INCOTERMS 2000

Terms EXW, DAF, FOB, CIF and other concern concept basis of delivery. The basis of delivery defines volume of obligations of the seller and the buyer under the contract, specifies transition of risks and other conditions of delivery of the goods. All terms of delivery share on 4 groups depending on increase of duties of the seller on delivery of the goods to the buyer, from the minimum duties in the first group to maximum in last.

1

E. group

EXW
(EX Works) (... named place)
From factory or ex factory (... The place name)

The seller is considered executed the obligation when it transfers the goods in the order of the buyer in the commercial enterprise (from a warehouse, from factory, from an open-cast mine etc.).

Group F. The basic transportation is not paid

FCA
Free Carrier (... named place)

FAS
Free Alongside Ship (... named port of shipment)

FOB
Free On Board (... named port of shipment)

The seller is considered carried out of the obligation on delivery from the moment of transfer to its carrier to the point coordinated with the buyer. Thus the duty on the organization of the basic transportation lies on the buyer.

S. group transportation is paid.

CFR
Cost and Freight (... named port of destination)

CIF
Cost, Insurance and Freight (... named port of destination).

CPT
Carriage Paid To (... named place of destination).

CIP
Carriage and Insurance Paid Тo (... named place of destination)

The seller is considered carried out of the obligation on delivery from the moment of transfer of the goods to a carrier to the point coordinated with the buyer, however, unlike group F terms, terms of group With assign a duty to the seller to conclude the contract of transportation to the coordinated point.

Group D. Arrival

DAF
Delivered At Frontier (... named place)

DES
Delivered Ex Ship (... named port of destination)

DEQ
Delivered Ex Quay (... named port of destination)

DDU
Delivered Duty Unpaid (... named place of destination)

DDP
Delivered Duty Paid (... named place of destination)

Group D is most burdensome for the seller in comparison with terms of other groups. The seller is responsible for arrival of the goods in the coordinated place or destination on border or in the country of import and is obliged to bear all risks and expenses on delivery of the goods to this place.