“Incoterms®” is an acronym standing for international commercial terms and are the international rules for the sale of goods and provide specific guidance to individuals participating in the import and export of global trade. The Incoterms® rules define important responsibilities of buyers and sellers for the delivery of goods under sales contracts. They are the authoritative rules for determining how costs are allocated to the parties.
Before you begin the process of importing and exporting it is important to understand the importance of understanding your terms of trade. Who will be paying for the freight internationally and to what point? Will your buyer pay or is it part of your deal to deliver to their door? Or perhaps you have arranged to deliver to the closest port and they will arrange the rest. These are all important questions you should consider before importing or exporting.
Below is a table of Incoterms® that can be used for both importing and exporting cargo. The list of services explains what the buyer and seller are responsible for paying under each different Incoterm®. For example, if you chose DDP for an export shipment you as the seller would be responsible for paying for all charges ex your door up to their door. This will even include all arrival charges in the importing country and any delivery, customs clearance and duties they may incur. In order to complete this, you would need an agent in the importing country to arrange this for you. As a freight forwarder this is something we can handle on your behalf with our worldwide agents.