shipping

Understanding Incoterms for African Trade

# Understanding Incoterms for African Trade Incoterms define who pays for what in international shipping. ## Most Used Incoterms ### EXW (Ex Works) **Buyer handles everything** - Buyer picks up from seller's location - Buyer pays all shipping and insurance - Seller's minimum responsibility ### FOB (Free On Board) **Most common for exports** - Seller delivers to port - Seller handles export customs - Buyer pays shipping from port - Risk transfers at ship's rail ### CIF (Cost, Insurance, Freight) **Seller handles shipping** - Seller pays freight and insurance - Seller delivers to destination port - Buyer handles import customs - Popular for new buyers ### DDP (Delivered Duty Paid) **Door-to-door service** - Seller delivers to buyer's address - Seller pays all duties and taxes - Maximum seller responsibility - Premium pricing ## Incoterm Comparison | Term | Export | Freight | Insurance |…