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No matter how far a country is from the other, is the comex (along with logistics) responsible for the release and clearance of goods at the final destination, both exporting and importing called Incoterms are a standard set of definitions and rules determining neutral practices that serve to define, in a contract of international sale, the reciprocal rights and obligations of the exporter and importer.

The purpose of Incoterms is to provide a set of international rules for the interpretation of the most common terms used in international trade. Thus, the uncertainties of interpretation mentioned terms in different countries can be avoided or at least reduced. The use of INCOTERMS is optional, being, however, very recommendable to simplify their use and to avoid conflicting interpretations.

Inconterms BR Freight Shipping
 

EXW – Ex Works

At the origin (named place of delivery).

The seller is limited to make the goods available to the buyer at their home in the deadline and is not responsible for clearance for export or for loading the goods on any collecting vehicle. Usable in any mode of transportation.

Note: due to the foreign buyer does not have legal requirements to provide clearance for the country's output of goods, it is understood that this step is taken by the seller, at their own expense and risk, in the case of Brazilian exports.

FCA – Free Carrier

FCA - Free Carrier (named place of delivery)

The seller fulfills his obligations and their responsibility ends when he delivers the goods, cleared for export, to the carrier or another person nominated by the buyer at the named place in the country of origin. Usable in any mode of transportation.

FAS – Free Along Side Ship

Free alongside ship (named port of shipment).

The seller terminates its obligations when the goods are placed, cleared for export, along the side of the ship carrier nominated by the buyer. Used exclusively in water transport (sea and inland waterway).

FOB – Free on Board

Free on board (named port of shipment).

The seller terminates its obligations and liabilities when the goods, cleared for export, is delivered, placed aboard the ship at the port of embarkation, both indicated by the purchaser on the date or within the agreed period. Used exclusively in water transport (sea and inland waterway).

CFR – Cost and Freight

Cost and Freight (named port of destination).

In addition to the obligations and risks planned for the FOB term, the seller hires and pays freight and costs necessary to bring the goods to the port of destination combined. Used exclusively in water transport (sea and inland waterway).

CIF – Cost, Insurance and Freight

COST, INSURANCE AND FREIGHT (named port of destination).

In addition to the obligations and risks planned for the FOB term, the seller hires and pays freight costs and insurance for the transport of goods to the agreed port of destination. Used exclusively in water transport (sea and inland waterway).

CIP – CARRIAGE AND INSURANCE PAID TO: TRANSPORT AND INSURANCE PAID TO

Carriage and insurance paid to (named place of destination).

In addition to the obligations and risks planned for the FCA term, the seller hires and pays the freight, insurance costs and the transport of goods to the agreed destination. Usable in any mode of transportation.

DAP – Delivered at Place

Delivered at Place (named place of destination).

The seller fulfills his obligations and their responsibility ends when placing the goods at the disposal of the buyer on the date or within the agreed period, a place of destination other than a terminal, ready to be unloaded from the carrier vehicle and not cleared for import. Usable in any mode of transportation.

DAT – Delivered at Terminal

Delivered at Terminal (named terminal at port or place of destination).

The seller fulfills his obligations and their responsibility ends when the goods are placed at the disposal of the buyer on the date or within the agreed period, a named destination terminal (pier, container terminal or warehouses within others), discharged from the transporting vehicle, but not cleared for import.

DDP – Delivered Duty Paid

Delivered Duty Paid (named place of destination).

The seller fulfills his obligations and their responsibility ends when the goods are placed at the disposal of the buyer on the date or within the agreed period, a named destination terminal (pier, container terminal or warehouse within others) discharged from the transporting vehicle, but not cleared for import.

The seller fulfills his obligations and their responsibility ends when the goods are placed at the disposal of the buyer on the date or within the agreed period, the named place of destination in the importing country, before unloading the means of transport.

The seller, in addition to assuming the customs clearance, assume all risks, including taxes, fees and other charges related to the importation. Usable in any mode of transportation.

Note: due to the foreign seller does not have conditions to provide clearance for entry of goods in the country, this term can not be used in Brazilian imports, should be chosen the term DAP or DAT in the case of preference for condition disciplined by the ICC.

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