Learn the Exporter Language

Abbreviations are commonly used for shipping terms within the exporting world. It is important to get a grasp on these before talking to your customers and clients. Below, I have defined some of these terms and abbreviations so that you and your company can become better acquainted.

• Ex Works (EXW)
• A term of sale in which the seller delivers the goods when they have made them available at his/her premises (i.e., works, factory, warehouse, etc.) to the buyer.
• Free Carrier (FCA)
• A Term of Sale in which the seller fulfills their obligation when they have handed over the goods, cleared for export, into the charge of the carrier named by the buyer at the named place or point.
• Free Alongside Ship (FAS)
• The seller fulfills his obligation to deliver when the goods have been placed alongside the vessel on the quay or in lighters at the named port of shipment.This means that the buyer has to bear all costs and risks of loss of or damage to the goods from that moment.
• Free On Board (FOB)
• The seller fulfills his or her obligation to deliver when the goods have passed over the ship's rail at the named port of shipment. This means that the buyer has to bear all costs and risks to loss of or damage to the goods from that point.