Incoterms (International Commercial Terms)

Incoterms; ICC - The rules regulated by the International Chamber of Commerce, which determine the distribution of responsibilities and costs between the parties during the transportation and delivery of the goods. Incoterms are expressed in abbreviations consisting of initials of English definitions.

Incoterms, published for the first time in 1936, was revised in 1963, 1967, 1976, 1980, 1990, 2000 depending on changing conditions. The current version of Incoterms 2010, came into effect on January 01, 2011. All versions can be used provided that it is specified in the contract and documents. The rules are legally voluntary.

In the contracts and documents, the location of the installation must be specified together with the Incoterms version.

3 important changes between Incoterms 2010 version and 2000;

• E (EXW,
• F (FOB, FCA, FAS,
• C (CFR, CIF, CPT, CIP),
• D (DAF, DES, DEQ, DDU, DDP) olan gruplama;
  • Rules for all modes of transport (EXW, FCA, CPT, CIP, DAF, DDU, DDP)
  • Rules for the transportation of sea and inland waters (FAS, FOB, CFR, CIF, DES, DEQ) rearranged as,
• DAP was created instead of DAF, DES, DDU and DAT instead of DEQ,
• In the FOB, CFR, CF delivery forms in the 2000 version, the condition that the item did not exceed the rail of the ship, and in the 2010 version, the condition that the item should be loaded on the ship correctly.

Delivery Types / Classification and Explanations

1 - Delivery Types Used for All Transportation Types

EXW – Ex Works

Delivery at Exporter's Workplace; All costs and risks belong to the importer and the goods are delivered at the designated place such as the exporter's warehouse or factory.

FCA – Free Carrier

Delivery to Carrier; It is the delivery of the goods to the carrier determined by the importer at the place determined in the country of the exporter.

CPT – Carriage Paid To

Carriage Fee Paid Delivery; It is the delivery where the transportation cost (freight) of the specified vehicle is paid by the exporter and the insurance and other expenses belong to the importer.

CIP – Carriage and In+surance Paid To

Handling Fee, Insurance paid Delivery; It is the delivery method that the exporter pays the transportation fee and insurance costs to the point determined in the country of the importer.

DAT – Delivered at Terminal

Delivery at the Terminal; All costs and risks belong to the exporter and the goods are unloaded and delivered from the vehicle at the port / terminal determined in the country of the importer.

DAP – Delivered at Place

Delivery at the determined place; Goods are delivered to the country of the importer and to the specified address, all taxes and taxes paid.

DDP – Delivered Duty Paid

Delivery With Customs Duties Paid; It is the delivery of the goods in the importer's country with all costs and customs duties paid.

2 – Delivery Types Used in Sea and Inland Water

FAS – Free Alongside Ship

Delivery by Ship; It is the delivery of the goods in the dock or loading area to be loaded on the specified watercraft.

FOB – Free on Board

Delivery On Board (On Board); It is the type of delivery where the goods are loaded on the specified sea vehicle and the costs and responsibilities such as transportation, insurance are transferred to the importer.

CFR – Cost and Freight

Delivery with Freight Paid; It is the delivery where the transportation cost (freight) of the determined sea vehicle is paid by the exporter and the insurance and other expenses belong to the importer.

CIF – Cost, Insurance and Freight

Costs, Freight, Insurance Paid Delivery; Delivery costs and delivery of the goods up to the delivery area determined in the country of the importer, insurance costs are covered.