Jump to FOB - Under 'F.O.B.' or 'free on board,' the goods are placed on board the ship by the seller . the buyer when the goods pass the ship's rail (i.e., off the dock and placed on the ship). The seller pays the cost of loading the goods. They tell the parties what to do with respect to carriage of the goods from buyer to seller, and export & import clearance. . Four Incoterms (DAF, DES, DEQ, DDU) have been replaced by two new Incoterms (DAT , DAP). . This term means that the seller delivers the goods, cleared for . Apr 17, 2018 - Learn about the two main types of FOB; FOB destination and FOB . Free on board is an international trade term under the Incoterms rules . Incoterms FOB - Free on Board requires the seller to clear the goods for export . The buyer takes over risk and costs starting from the time the goods have been . What are the Different Types on Incoterms 2010 and Why are they Used? . DCP – Delivered Costs Paid, FOR – Free on Rail and FOT – Free on Truck were . Jump to FOB – Free on Board (named port of shipment) - Under FOB terms the seller bears all costs and risks up to the point the goods are loaded on . EXW - Ex Works -- Risk pass to buyer including payment of all transportation and insurance cost from the seller's door. Used for any mode of transportation. FCA . Jump to What is the Difference Between FOB and CIF? - Cost, Insurance, Freight (CIF) puts the liability of payment for . CIF is a more expensive contract option than FOB, as is demands more effort and expense on the . Other Incoterms. FCA will offer the best cost and risk allocation for a containerized shipment, and requires that the seller export the goods for clearance. Under present-day FOB contracts it is nearly always the buyer who arranges the contract of carriage and who is liable for all costs and risk from that point .