Incoterms 2010: Transportation Items

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'''Introduction'''
'''Introduction'''
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[[Incoterms 2010]] provide harmonized interpretation rules for 11 common trade terms. An Important task of any international trader is to choose among these 11 common terms, the “right” Incoterm that is most appropriate for the specific transaction he wishes to engage in. The International Chamber of Commerce (ICC) encourages the use “multimodal” Incoterms (such as FCA, CPT, CIP, DAT, DAP and DDP) instead of the “water” or “maritime” Incoterms (such as FAS, FOB, CFR and CIF). According to the ICC, maritime terms are not appropriate, and thus should not be used in container trade, as the seller does not ‘deliver’ the container on board the vessel, but most often hands over the goods to the carrier at an inland point or terminal. International traders are to examine the underlying rationale behind the said ICC advice. For this purpose they have to use some criteria that might be applied to choose the right Incoterm, taking into consideration how the transport mode influences and sometimes even imposes the choice for a particular term
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[[Incoterms 2010]] provide harmonized interpretation rules for 11 common trade terms. An Important task of any international trader is to choose among these 11 common terms, the “right” Incoterm that is most appropriate for the specific transaction he wishes to engage in. The [[International Chamber of Commerce]] (ICC) encourages the use “multimodal” Incoterms (such as FCA, CPT, CIP, DAT, DAP and DDP) instead of the “water” or “maritime” Incoterms (such as FAS, FOB, CFR and CIF). According to the ICC, maritime terms are not appropriate, and thus should not be used in container trade, as the seller does not ‘deliver’ the container on board the vessel, but most often hands over the goods to the carrier at an inland point or terminal. International traders are to examine the underlying rationale behind the said ICC advice. For this purpose they have to use some criteria that might be applied to choose the right Incoterm, taking into consideration how the transport mode influences and sometimes even imposes the choice for a particular term

Revision as of 16:01, 17 September 2012

Introduction

Incoterms 2010 provide harmonized interpretation rules for 11 common trade terms. An Important task of any international trader is to choose among these 11 common terms, the “right” Incoterm that is most appropriate for the specific transaction he wishes to engage in. The International Chamber of Commerce (ICC) encourages the use “multimodal” Incoterms (such as FCA, CPT, CIP, DAT, DAP and DDP) instead of the “water” or “maritime” Incoterms (such as FAS, FOB, CFR and CIF). According to the ICC, maritime terms are not appropriate, and thus should not be used in container trade, as the seller does not ‘deliver’ the container on board the vessel, but most often hands over the goods to the carrier at an inland point or terminal. International traders are to examine the underlying rationale behind the said ICC advice. For this purpose they have to use some criteria that might be applied to choose the right Incoterm, taking into consideration how the transport mode influences and sometimes even imposes the choice for a particular term


References

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