Incoterms

• Incoterms is an acronym, and it stands for INternational COmmercial TERMS.

• Incoterms are standard definitions used in international trade.
  • Incoterms reduce uncertainties arising from differing interpretations of such terms in different countries.
  • Incoterms are published by the International Chamber of Commerce.
  • They were first devised in 1936.
  • Incoterms 1990 was a popular standard.
  • Incoterms 2000 was the standard for a decade.
  • Incoterms 2010 is the current standard.

• Incoterms regulate:
  • The distribution of documents.
  • The conditions for delivering goods.
  • The cost of transporting goods.
  • The responsibility of risk in shpping the goods.

• Incoterms do not cover:
  • The conditions of the sale.
  • The condition of the goods.
  • The warranty of the goods.
  • The payment or nonpayment of the goods.
  • Intangible products such as computer software.

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© 2004 - 2012 John Michael Pierobon

Notes