The International Chamber of Commerce (ICC) publishes Incoterms, or international commercial terms, to facilitate global commerce. By clarifying the obligations of buyers and sellers, Incoterms reduce confusion in foreign trade contracts.
Domestic and international traders often use the terms as a shorthand to clarify the specifics of their business agreements. In some countries, transportation by land or sea is covered, while only transportation over water is covered in others.
In short, These terms, which have been codified by the International Chamber of Commerce (ICC), are used in foreign trade contracts to specify who bears the costs and at what specific point they occur.
Some common examples of Incoterms are:- EXW: Ex Works
- FCA: Free Carrier
- CPT: Carriage Paid To
- CIP: Carriage and Insurance Paid To
- DAP: Delivered at Place
- DPU: Delivered at Place Unloaded
- DDP: Delivered Duty Paid
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FCL
FULL CONTAINER LOAD (FCL)
Select this option if you are shipping a large amount of cargo that will require a full container to be occupied. You may also choose this if you do not want your cargo to be combined with any other shipments.
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LCL
LESS THAN CONTAINER LOAD (LCL)
Select this option If you are shipping a small amount of cargo that will not fill a whole container. Other shipments moving to the same destination will be placed along with yours in the same container.
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AIR
Ship by Air
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TRUCKING
SHIP BY TRUCK
Ship by truck" is the method of transporting goods exclusively by land using trucks, often chosen for cost-efficiency and shorter distances.
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