The seller provides the goods at his premises (factory, factory or warehouse) on a date agreed with the customer. The purchaser shall bear all costs and responsibilities in the organization of the shipment and during the transport. The seller's obligations here are minimal and the buyer's maximum. The term "Ex Works" is often used when offering an initial offer for the sale of goods without incurring any costs.the goods at his premises (factory, factory or warehouse) on a date agreed with the customer. The purchaser shall bear all costs and responsibilities in the organization of the shipment and during the transport. The seller's obligations here are minimal and the buyer's maximum. The term "Ex Works" is often used when offering an initial offer for the sale of goods without incurring any costs.

The seller delivers the goods released for export to the carrier approved by the buyer at the agreed place. This incoterm is used for all modes of transport.

The seller is obliged to deliver the goods to the ship and to customs release them for export to the designated port. This incoterm is only appropriate for maritime transport, but not for multimodal shipping in containers (see Incoterms 2010, ICC Publication 715). It is usually used for heavy or bulk cargoes.

Under the rules, FOB is only used for ocean or inland waterway transport. The named place is always a port. It does not apply if the main carriage is via ground or rail.

However, insurance costs are the responsibility of the buyer. Unlike many other Incoterms, the risk transfer point differs from the cost transfer point. Under the CFR Incoterm, the risk is transferred when the goods are loaded on board the shipping vessel at origin.

The seller delivers when the goods pass the ship's rail in the port of shipment. Seller must pay the cost & freight necessary to bring goods to named port of destination. Risk of loss & damage same as CFR. Seller also has to procure marine insurance against buyer's risk of loss/damage during the carriage. Seller must clear the goods for export. This term can only be used for sea transport.

This term means that the seller delivers the goods to the carrier nominated by him but the seller must in addition pay the cost of carriage necessary to bring the goods to the named destination. The buyer bears all costs occurring after the goods have been so delivered. The seller must clear the goods for export.

This term is the same as CPT with the exception that the seller also has to procure insurance against the buyer's risk of loss or damage to the goods during the carriage. This term may be used for any mode of transportation.

Seller pays for carriage to the terminal, except for costs related to import clearance, and assumes all risks up to the point that the goods are unloaded at the terminal.

Seller pays for carriage to the named place, except for costs related to import clearance, and assumes all risks prior to the point that the goods are ready for unloading by the buyer.

This term represents maximum obligation to the seller. This term should not be used if the seller is unable to directly or indirectly to obtain the import license. The terms means the same as the DDU term with the exception that the seller also will bear all costs & risks of carrying out customs formalities including the payment of duties, taxes & customs fees.