{"id":73,"date":"2026-10-12T18:20:54","date_gmt":"2026-10-12T16:20:54","guid":{"rendered":"https:\/\/side-cargo.com\/guide-incoterms\/"},"modified":"2026-10-14T10:52:51","modified_gmt":"2026-10-14T08:52:51","slug":"guide-incoterms","status":"publish","type":"page","link":"https:\/\/side-cargo.com\/en\/guide-incoterms\/","title":{"rendered":"Incoterms guide"},"content":{"rendered":"
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Practical guide<\/p>\t\t\t\t<\/div>\n\t\t\t\t

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Incoterms\u00ae 2020, without the jargon.<\/em><\/h1>\t\t\t\t<\/div>\n\t\t\t\t
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The Incoterm on the invoice sets who pays for transport, who handles customs and who bears the loss if something goes wrong. This guide helps you choose the right Incoterm between India and France.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t

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\n\t\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t\tSee the responsibility map<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t\tWhich one for groupage?<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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The essentials<\/h2>\t\t\t\t<\/div>\n\t\t\t\t
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The International Chamber of Commerce (ICC) publishes the Incoterms. These rules split transport costs, risks and formalities between seller and buyer. Price, payment and transfer of ownership belong in the sales contract.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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11 rules<\/h3>\t\t\t\t<\/div>\n\t\t\t\t
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Seven apply to any mode of transport, four to sea and inland waterway transport only (FAS, FOB, CFR, CIF).<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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Costs and risk travel separately<\/h3>\t\t\t\t<\/div>\n\t\t\t\t
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Under the C rules (CPT, CIP, CFR, CIF), the seller pays freight to destination, but risk passes to the buyer at origin. It is the most common source of misunderstanding.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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The place matters as much as the letters<\/h3>\t\t\t\t<\/div>\n\t\t\t\t
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After \u201cFCA\u201d, write a precise place: an address, a warehouse or a terminal. Responsibility changes hands at that point.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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2020 version in force<\/h3>\t\t\t\t<\/div>\n\t\t\t\t
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Incoterms\u00ae 2020 are the current reference. An earlier version can still be used if the contract names it: state the year in your documents.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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The responsibility map<\/h2>\t\t\t\t<\/div>\n\t\t\t\t
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Who pays for each leg of the journey, and where risk changes hands. Scroll the table sideways on mobile.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Seller<\/span>Buyer<\/span>Depends on the carriage contract<\/span>Transfer of risk<\/span><\/div>
Incoterm<\/th>Loading at origin<\/th>Export customs<\/th>Pre-carriage and origin port fees<\/th>Sea freight<\/th>Arrival fees<\/th>Import customs, duties and taxes<\/th>Final delivery<\/th><\/tr><\/thead>
EXW<\/strong>Any mode<\/small><\/th>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td><\/tr>
FCA<\/strong>Any mode<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td><\/tr>
CPT<\/strong>Any mode<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Depends on the carriage contract<\/span><\/td>Buyer<\/span><\/td><\/tr>
CIP<\/strong>Any mode<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Depends on the carriage contract<\/span><\/td>Buyer<\/span><\/td><\/tr>
DAP<\/strong>Any mode<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Buyer<\/span><\/td><\/tr>
DPU<\/strong>Any mode<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Buyer<\/span><\/td><\/tr>
DDP<\/strong>Any mode<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td><\/tr>
FAS<\/strong>Sea only<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td><\/tr>
FOB<\/strong>Sea only<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td>Buyer<\/span><\/td><\/tr>
CFR<\/strong>Sea only<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Depends on the carriage contract<\/span><\/td>Buyer<\/span><\/td><\/tr>
CIF<\/strong>Sea only<\/small><\/th>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Seller<\/span><\/td>Depends on the carriage contract<\/span><\/td>Buyer<\/span><\/td><\/tr><\/tbody><\/table><\/div>

How to read it: under FCA, the seller pays until the goods are handed over at the named place (for groupage, our departure CFS warehouse), then the buyer takes over. Cells marked \u201cdepends on the carriage contract\u201d depend on what the freight price includes: check each quote.<\/p>\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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The 11 Incoterms in detail<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Incoterm<\/th>Mode<\/th>Risk passes to the buyer\u2026<\/th>Main freight<\/th>Insurance<\/th>Export customs<\/th>Import customs<\/th><\/tr><\/thead>
EXW<\/strong>Ex Works<\/small><\/th>Any mode<\/td>At the seller\u2019s premises, goods made available (not loaded)<\/td>Buyer<\/td>Not required<\/td>Buyer<\/td>Buyer<\/td><\/tr>
FCA<\/strong>Free Carrier<\/small><\/th>Any mode<\/td>Handed to the buyer\u2019s carrier at the named place<\/td>Buyer<\/td>Not required<\/td>Seller<\/td>Buyer<\/td><\/tr>
CPT<\/strong>Carriage Paid To<\/small><\/th>Any mode<\/td>Handed to the first carrier<\/td>Seller<\/td>Not required<\/td>Seller<\/td>Buyer<\/td><\/tr>
CIP<\/strong>Carriage and Insurance Paid To<\/small><\/th>Any mode<\/td>Handed to the first carrier<\/td>Seller<\/td>Seller, broad cover (clauses A)<\/td>Seller<\/td>Buyer<\/td><\/tr>
DAP<\/strong>Delivered At Place<\/small><\/th>Any mode<\/td>At destination, ready for unloading<\/td>Seller<\/td>Not required<\/td>Seller<\/td>Buyer<\/td><\/tr>
DPU<\/strong>Delivered at Place Unloaded<\/small><\/th>Any mode<\/td>At destination, unloaded<\/td>Seller<\/td>Not required<\/td>Seller<\/td>Buyer<\/td><\/tr>
DDP<\/strong>Delivered Duty Paid<\/small><\/th>Any mode<\/td>At destination, ready for unloading<\/td>Seller<\/td>Not required<\/td>Seller<\/td>Seller (duties and taxes included)<\/td><\/tr>
FAS<\/strong>Free Alongside Ship<\/small><\/th>Sea only<\/td>Alongside the vessel, port of loading<\/td>Buyer<\/td>Not required<\/td>Seller<\/td>Buyer<\/td><\/tr>
FOB<\/strong>Free On Board<\/small><\/th>Sea only<\/td>On board the vessel, port of loading<\/td>Buyer<\/td>Not required<\/td>Seller<\/td>Buyer<\/td><\/tr>
CFR<\/strong>Cost and Freight<\/small><\/th>Sea only<\/td>On board the vessel, port of loading<\/td>Seller<\/td>Not required<\/td>Seller<\/td>Buyer<\/td><\/tr>
CIF<\/strong>Cost, Insurance and Freight<\/small><\/th>Sea only<\/td>On board the vessel, port of loading<\/td>Seller<\/td>Seller, minimum cover (clauses C)<\/td>Seller<\/td>Buyer<\/td><\/tr><\/tbody><\/table><\/div>\t\t\t\t<\/div>\n\t\t\t\t
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Where insurance is \u201cnot required\u201d, neither party has to insure: it is up to whoever bears the risk to protect themselves. We offer ad valorem cover based on the value of the goods, whatever the Incoterm.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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Which one for India \u2194 France groupage?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t
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Our recommendations for small volumes, depending on the direction of your shipment.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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You buy from India<\/h3>\t\t\t\t<\/div>\n\t\t\t\t
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