Cargo Guide

Incoterms (International Commercial Terms) are a set of standardized rules and regulations developed by the International Chamber of Commerce (ICC). These regulations are designed to facilitate and standardize international commercial transactions and clearly outline the duties, responsibilities, and risks associated with the transportation of goods between the seller and buyer. Each of these commercial terms represents a type of agreement used in international commercial contracts and specifies which party is responsible for specific obligations such as transportation costs, insurance, and unloading.

Incoterms include various terms such as EXW (Ex Works), FOB (Free on Board), CIF (Cost, Insurance, and Freight), and DDP (Delivered Duty Paid), each having a specific meaning regarding the delivery and transfer of ownership of goods. Choosing the correct Incoterms in contracts can help prevent disputes and legal issues during the international trade process. Although these terms are used consistently across countries, a proper understanding of them also requires a thorough knowledge of the conditions and regulations of each country.