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A) EX WORKS DELIVERY / (EXW)
"Ex works" means that the seller has accomplished his delivery obligation by keeping the goods available at the buyer’s disposal in his enterprise (factory, storehouse etc.). Unless otherwise agreed, the seller is not responsible for the loading of the goods on the vehicle provided by the buyer or the transmission of the goods through the export customs. The buyer is liable for all the expenses and risks associated with the transportation of the goods from this point to the destination. This term is a form of sales which covers minimum liability for the seller among all the sales forms. In this form of delivery, only the price of packed goods is included in the sales price designated in the agreement. In other words, all kinds of transportation, charging, discharging and insurance costs are borne by the buyer.
B) FREE CARRIER DELIVERY / (FCA)
In this term, the delivery obligation of the seller terminates upon the delivery of the goods to a forwarder determined by the buyer at a specified location or point after the transmission of the goods through the export customs. In case an exact delivery location is not specified by the buyer, the seller may designate a location near the location where the forwarder shall receive the goods. In case the commercial implementations require the assistance of the seller in order to be able to conclude an agreement with the forwarder (for example in railway and airway transportation), the seller may act accordingly provided that the risks and costs are borne by the buyer.
C) FREE ALONGSIDE SHIP DELIVERY / (FAS)
In this term, the delivery obligation of the seller terminates by the placement of the goods on the harbor platform or on the lighter alongside the ship at the specified port. This means that all the costs, risks of loss or damage related to the goods shall be borne by the buyer from this point on. The charging, discharging, transportation and insurance costs of the goods are paid by the buyer. Both the price of the goods and the transport cost until the harbor platform are included in the sales price designated in the FAS agreement. This term indicates that the buyer must clear the goods from the customs for export. This term should not be used if the buyer shall not execute the export transactions directly or indirectly. This term is used only for sea lane or inland water transportation.
D) FREE ON BOARD DELIVERY / (FOB)
In this term, the delivery obligation of the seller is accomplished as soon as the goods cross over the board of the vessel at the specified port. All expenses, risks of loss and damage related to the goods are borne by the buyer from this point on. If ‘the board of the vessel’ has no definite meaning (for example, as in roll-on/roll-off or container transportation), it is more convenient to use the FCA term.
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