If you are looking to begin international trade: buying your goods outside of the UK and importing them, there are some terms of delivery which you will agree with your supplier that are important that you understand.<\/p>\n
It is generally advised that you use \u2018INCOTERMS\u2019 when buying your goods internationally. INCOTERMS are a set of rules which have been issued by the International Chamber of Commerce. The terms outline both the buyer\u2019s and the seller\u2019s obligations and risk under given terms of delivery. The precise nature of these terms and their definitions can prevent misunderstandings between the buyer and seller and their obligations.<\/p>\n
The following are the main terms used for delivery (there are many others, but generally these are the ones to know about).<\/p>\n
EXW \u2013 Ex Works. The buyer is responsible for the door to door transport costs, destination taxes and duties, and marine insurance. It is the buyer\u2019s risk from door to door.<\/p>\n
FOB \u2013 Free on Board. The seller is responsible for charges up to and over the \u2018ship\u2019s rail\u2019 (the ship\u2019s rail being the point where the container is lifted off the quay and over the side of the ship). It is the seller\u2019s risk up to and over the ship\u2019s rail.
\nThe buyer is responsible for the shipping costs from the port of departure to the place of delivery, marine insurance from the port of loading and destination duties and taxes.<\/p>\n
CFR \u2013 Cost and Freight. The seller is responsible for the FOB charges and ocean freight up to the named port of destination. It is the seller\u2019s risk up to the FOB.
\nThe buyer is responsible for unloading from the ship, duties and taxes, and local delivery to the destination and marine insurance from the FOB.<\/p>\n
CIF \u2013 Cost Insurance Freight. Same as CFR (above), but the seller arranges and pays for the marine insurance up to the buyer\u2019s door.<\/p>\n
We can offer all levels of service, from arranging every single aspect for you (e.g. door to door delivery, insurance, customs clearance, VAT & Duty payments, and so on), or just one part of your shipment for you, for example the ocean freight.<\/p>\n
If this has left you baffled and you\u2019re not sure what to do next, then give us a call to discuss your shipment. We\u2019d be happy to help you make sense of this and assist you with arranging your import into the UK – Tel. 02392 756 575. Email: sales@mercatorcargo.co.uk.<\/a><\/p>\n <\/p>\nRequest a Quote for International Shipping<\/h3>\n\t\t