The Incoterms® rules are a standard set of trade terms used worldwide in international and domestic contracts of sales. The terms defines the obligation, costs and risks of sellers and buyers in connection to delivery of goods.
Incoterms® 2010 comprises of 11 terms
Some terms can be used only for sea and inland water transport, whereas others can be used irrespective of the mode of transport.
Summary of Incoterms® 2010:
(Click on a term for additional information)
|EXW||Ex works...||FAS||Free Alongside Ship...|
|FCA||Free Carrier...||FOB||Free On Board...|
|CPT||Carriage Paid To...||CFR||Cost and Freight...|
|CIP||Carriage and Insurance Paid to...||CIF||Cost, Insurance and Freight...|
|DAT||Delivered At Terminal... (NEW)|
|DAP||Delivered At Place... (NEW)|
|DDP||Delivered Duty Paid...|
In order to use the Incoterms® 2010, they must be incorporated into the contract of sales. The reference must be to the specific version of Incoterms. For example: FCA Strandgade 3, Copenhagen, Denmark Incoterms® 2010
Download Nordea Trade Finance fact sheet on Incoterms® 2010
Incoterms® 2010 is in effect as of 1 January 2011 and replaces the Incoterms 2000. The Incoterms are published by the International Chamber of Commerce (ICC)