Trade Terms (Incoterms)
This page needs 1 business fact that the owner has not yet supplied. It is shown in square brackets rather than guessed, because an invented company number, address or licence on a live trading site is a real liability.
- [MARINE INSURANCE COVER]
The full list, by page and by open decision, is the register at docs/corridor/PENDING-BUSINESS-FACTS.md.
The default Incoterm for each export market is shown below. The term that applies to your order is the one named on the lot page and printed on your proforma invoice; the proforma always wins.
| Market | Discharge port | Default term | Where risk passes |
|---|---|---|---|
| UAE | Jebel Ali | CIF Jebel Ali | On board the vessel at Mombasa. The seller insures the sea leg for the buyer. |
| China | Shanghai | CIF Shanghai | On board the vessel at Mombasa. The seller insures the sea leg for the buyer. |
| Europe | Rotterdam | CIF Rotterdam | On board the vessel at Mombasa. The seller insures the sea leg for the buyer. |
| America | Los Angeles | CIF Los Angeles | On board the vessel at Mombasa. The seller insures the sea leg for the buyer. |
CIF — Cost, Insurance and Freight (Incoterms 2020)
Under CIF to the named discharge port, the seller:
- contracts and pays the freight to bring the goods to the named discharge port;
- arranges marine insurance covering the goods for the sea leg (at least the cover named below);
- clears the goods for export out of Kenya and provides the agreed shipping documents.
Risk passes to you when the goods are on board the vessel at Mombasa. The insurance the seller arranges is for your benefit on that leg. Anything that happens after the goods are on board is at your risk, even though the seller paid the freight and insurance to the destination port.
The buyer pays, from arrival: terminal handling and discharge charges at the destination port, customs duty, import VAT or its equivalent, port charges, and inland transport from the port of discharge. Insurance is arranged at [MARINE INSURANCE COVER]; you may ask for wider cover at your cost.
FOB — Free On Board (Incoterms 2020)
Under FOB at the named Kenyan load port, the seller clears the goods for export and delivers them on board the vessel at Mombasa. Risk passes to you when the goods are on board. The buyer arranges and pays the main freight and the marine insurance from that point, and bears all destination charges, duty and import VAT.
What no quotation includes unless it says so
Unless the proforma names them, no price includes: import duty, import VAT or equivalent, destination terminal and port charges, demurrage or detention, inland transport after the port of discharge, inspection or re-inspection fees charged at destination, or any attestation, legalisation or chamber stamp that a destination authority adds to the Kenyan documents.
Transit times are indicative only and are not a guaranteed delivery date. See the Shipping & Delivery page.