Trade term: the seller bears costs up to the ship's rail; the buyer takes over after that.
Trade term: the seller bears costs up to the ship's rail; the buyer takes over after that.
FOB (Free On Board) means the seller bears all costs and risks until the goods are placed on board the vessel at the loading port.
Risk transfers from seller to buyer when: - **Crossing the ship's rail** — or when placed on board per the new convention
| Term | Seller bears | Buyer bears |
|---|---|---|
| FOB | Loading on board | Freight & insurance |
| CIF | Freight & insurance | Customs clearance |
| EXW | Nothing (buyer handles everything) | Everything |
A rechtlich document issued by the carrier confirming receipt of cargo for shipment and defining the terms of transport. It serves as proof of cargo ownership.
Trade term: price includes the cost of goods, insurance, and freight to the destination port.
Trade term: the seller makes goods available at its premises; all costs and risks transfer to the buyer.
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