EXW
Ex Works
Goods are made available at the named warehouse. The buyer arranges loading, export formalities and all onward transport.
Delivery terms
Incoterms We Quote Against
Two quotations for the same goods are not comparable unless they are on the same terms. These are the five we quote against, and what each one actually moves between the parties.
FCA
Free Carrier
We hand the goods to the carrier nominated by the buyer at the agreed place, cleared for export. Main-carriage cost and risk sit with the buyer.
FOB
Free On Board
We deliver the goods on board the vessel at the named port of shipment. Risk passes once the goods are on board.
CFR
Cost and Freight
We contract and pay for carriage to the named destination port. Risk still passes to the buyer at the loading port; insurance is the buyer’s responsibility.
CIF
Cost, Insurance and Freight
As CFR, with cargo insurance arranged to the named destination port. Risk still passes to the buyer at the loading port.
Choosing a term
In practice most beer export buyers work on CFR or CIF, because those give a landed cost they can compare directly against domestic supply. FOB suits buyers with their own freight arrangements or a nominated forwarder. EXW is the least common — it looks cheapest on the invoice because everything else has been moved to your side of the line, including export clearance.
One point that catches buyers out: under CFR and CIF, risk passes at the loading port even though we are paying for carriage to the destination. Cost and risk do not move together on those terms. If you are not insuring the cargo yourself, CIF rather than CFR is usually the right choice.
Summaries are provided for orientation only and do not constitute legal or contractual advice. The applicable Incoterms® rule, its edition and any variations are fixed in the sales contract for each shipment.