INCOTERMS

Businesses around the world engage in billions of dollars worth of trade annually, and the terms of trade for goods sold internationally is generally done under one of 13 INCOTERMS that have been agreed by Chambers of Commerce the world over.

The13 INCOTERMS are split into four categories, and expressions such as "FOB" for Free on Board, and "CIF" for Costs, Insurance and Freight govern the point at which ownership of goods sold transfers to the buyer. These terms also determine who is entitled to claim in the event of loss or damage to a shipment.

To view a summary of the International Chamber of Commerce terms of trade, please click here for the wallchart, which spells out the transport obligations, costs and risks for seller's, carriers and buyer's.

To view the International Chamber of Commerce INCOTERMS Home page for additional information, please click here