FCA
Free Carrier
Seller delivers goods to carrier at a named place. Most versatile F-term - works for any transport mode including containers.
Visual Guide - Cost & Risk Transfer
Obligations & Cost Breakdown
Seller Obligations
- Deliver goods to carrier at named place
- Clear goods for export
- Provide transport document or equivalent
Cost Responsibility:
Buyer Obligations
- Arrange and pay for main carriage
- Provide transport instructions to seller
- Import clearance and duties
Cost Responsibility:
Risk Transfer Point
When goods are handed to carrier at named place
Insurance Requirement
Buyer's responsibility (recommended)
Real African Trade Examples
Cut Flowers: Kenya → Netherlands
FCA JKIA AirportFresh roses from Nairobi (JKIA)
Perishables require buyer to control cold chain. Air freight is time-sensitive. Dutch flower auctions prefer buying FCA.
CPT Amsterdam if seller has good freight rates
Coffee: Ethiopia → Germany
FCA Addis AbabaSpecialty Yirgacheffe coffee beans
European specialty roasters send consolidators who pick up from multiple Ethiopian origins. FCA works for both air and container shipments.
FOB Djibouti for sea freight only
Electronics: South Africa → Kenya
FCA JohannesburgSolar panels from Johannesburg
Intra-African trade via road transport. FCA is ideal when goods are handed to a road carrier at seller's warehouse.
DAP Nairobi if seller has regional logistics
Common African Trade Usage
Widely used for air freight exports (flowers, vegetables, high-value goods) and container shipments. The ICC recommends FCA over FOB for containerized cargo. Increasingly popular for intra-African trade under AfCFTA as it works for road and rail transport.
Common Mistakes with FCA
Not Specifying Precise Delivery Point
The Mistake: Contract says 'FCA Kenya' without naming the exact location (airport, warehouse, terminal).
The Problem: Ambiguity about where risk transfers - at seller's warehouse or at the airport/terminal?
The Solution: Always specify: 'FCA Jomo Kenyatta International Airport, Nairobi' or 'FCA Seller's Warehouse, Industrial Area, Nairobi'.
Confusion About Loading Responsibility
The Mistake: Not clarifying who loads the goods when delivered at seller's premises.
The Problem: If FCA is at seller's premises, seller loads. If FCA is elsewhere, buyer loads. This isn't always understood.
The Solution: State clearly in contract whether FCA is at seller's premises (seller loads) or at a named terminal/port (buyer loads).
When to Use FCA
Best For
- Container shipments
- Multimodal transport
- When seller wants to limit responsibility
- Any transport mode
- Air freight shipments
Avoid When
- When buyer cannot arrange transport effectively