FOB – Free On Board – Incoterms 2020

Mode of Transport: Sea or inland waterway transport only

Applicable for Domestic Trade: Yes

Applicable for String Sales: Yes

Applicable for Goods Moving in Containers: No

Delivery Condition: The seller delivers the goods on board of the vessel, nominated by the buyer at the named port of shipment or procures the goods already so delivered.

Point of Risk Transfer: The board of the vessel

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FOB – Free On Board - Incoterms 2020

Point of Cost Transfer: The board of the vessel

Rules for Quote (Quotation): [currency] [price] FOB [named port of shipment] Incoterms® 2020

Example of Quote (Quotation): $150,000 FOB, Quai #2, Amsterdam Port, Middensluisweg 2, 1975, Amsterdam, Netherlands, Incoterms® 2020

Packaging: Seller’s responsibility and cost

Export Clearance & Security: Seller’s responsibility and cost

Inspection: Seller’s responsibility and cost, only if the inspection is mandated by local authorities

Loading: Seller’s responsibility and cost

Carriage: Buyer’s responsibility and cost

Insurance: No obligation to arrange but Buyer’s cost and responsibility if requested

Import Clearance & Security: Buyer’s responsibility and cost

Unloading: Buyer’s responsibility and cost

Notification: The Seller timely notifies the Buyer that goods have been delivered or that the vessel failed to take goods. The Buyer timely notifies the Seller the vessel’s name, time and loading point.

Documentation: The Seller must provide the Buyer with the proof of delivery. The Buyer must accept the proof of delivery.

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