Understanding the main features and

NEW changes over old version 2000

JUAN DIEGO ALZATE GOMEZ
International Acredited Trainer
Incoterms 2010 rules
Trainers Bureau
International Chamber of Commerce-Paris-

Incoterms y su logo son una marca registrada
de la Cmara Internacional de Comercio (ICC).

INCOTERMS 2010: WHATS NEW?
1. Introduction
2. 13 11 Incoterms rules
3. Classification
4. Domestic and international trade
5. Guidance notes + drawings
6. Electronic documents have full functional equivalence to paper
documents
7. Adjustment insurance cover to the Institute Cargo Clauses 2009
8. First Incoterms rules since 9/11 Incorporation Security related
information A10/B10
9. Terminal Handling Charges (THC) improved wording A6/B6
10. String sales
INCOTERMS 2010: NEWS
- Shortened introduction limited guidance notes
per Incoterms rule


- 13 11 Incoterms rules

DAF+DES+DDU DAP;
DEQ DAT
DAP
Delivered at Place
DAT
Delivered at Terminal
Merging to
new version
2011
5
Overview of former Incoterms
rules
Equivalent
Incoterms 2000 rule
Equivalent
Incoterms 2010 rule
ex factory, ex mill, ex plantation, ex
warehouse, ex store, etc.
EXW EXW
Free Carrier (FRC)
FOR (Free On Rail) - FOT (Free On Truck)
- Franco Wagon
FOB Airport (FOA)
FOQ (Free on Quay)
FOW (Free on Wheels)


FCA


FCA
C.And F.
C&F
C+F
CF

CFR

CFR
CAF CIF CIF
Freight or Carriage Paid to (FCP) CPT CPT
Freight or Carriage and Insurance Paid to CIP CIP
DAF

DAP

Ex Ship (EXS) DES
DDU
Ex Quay (EXQ) DEQ DAT
DAF (Named
place)
DAP (Named place
of destination)
DES ( named port
of destination)

DAP (Named place
of destination)
DEQ ( named port
of destination)

DAT (Named terminal at
port or at place of
destination)
DAT (Named
terminal at port ,
airport or any other
place of destination)
DAP (Named place of
destination)
DDU (Named
place)
four different categories:
1. E: the seller only makes the goods
available to the buyer at the sellers
own premises;
2. F: the seller is called upon to
deliver the goods to a carrier
appointed by the buyer;
3. C: the seller has to contract for
carriage, but without assuming the
risk;
D: the seller bears all costs and
risks needed to bring the goods to
the place of destination.
two classes:
1. seven Incoterms 2010 rules that
can be used irrespective of the
mode of transport selected and
irrespective of whether one or
more than one mode of transport is
employed;
2. four sea and inland waterway
rules where the point of delivery
and the place to which the goods
are carried to the buyer are both
ports.
Goods are
collected at
Goods are shipped
from
Goods are shipped
to
Goods are
delivered at
Container -
FCL
Inland
terminal - LCL
Port terminal
- LCL
Ships rail On board
Port
customs
2010
Passing of risk
FCA CPT - CIP
FOB CFR - CIF
A4 delivery

Incoterms 2000: The seller must deliver the goods on board the
vessel at the port of shipment [] on the date or within the agreed
period.
Incoterms 2010: The seller must deliver the goods either by
placing them on board the vessel or by procuring the goods so
delivered. []
E In string sales there is no actual delivery of goods but a
transfer of B/Ls several professional organisations of
commodity traders excluded the application of the
Incoterms rules from their general conditions and model
contracts. This gap has now been filled. A transfer of a B/L
now equals delivery.

A THE SELLERS OBLIGATIONS

C General obligations of the seller

C Licences, authorizations, security
clearances and other formalities
C Contracts of carriage and
insurance
C Delivery
C Transfer of risks
Division of costs
C Notice to the buyer
Delivery document

Checking packaging marking
1 Assistance with information and
related costs
A THE SELLERS OBLIGATIONS

C Provision of goods in conformity with the
contract
C Licences authorisations and formalities
C Contracts of carriage and insurance
C Delivery
C Transfer of risks
Division of costs
C Notice to the buyer
Proof of delivery, transport document or
equivalent electronic message
Checking packaging - marking
1 Other obligations
B THE BUYERS OBLIGATIONS

C General obligations of the buyer
C Licences, authorizations, security
clearances and other formalities
C Contracts of carriage and insurance
C Taking delivery
C Transfer of risks
Division of costs
C Notice to the seller
Proof of delivery
Inspection of goods
1 Assistance with information and related
costs

B THE BUYERS OBLIGATIONS

C Payment of the price
C Licences, authorizations and formalities
C Contracts of carriage and insurance
C Taking delivery
C Transfer of risks
Division of costs
C Notice to the seller
Proof of delivery, transport document or
equivalent electronic message
Inspection of goods
1 Other obligations
Structure of the Incoterms
rules: 10 articles
A THE SELLERS OBLIGATIONS

CGeneral obligations of the seller
CLicences, authorizations, security
clearances and other formalities
CContracts of carriage and insurance
CDelivery
CTransfer of risks
Division of costs
CNotice to the buyer
Delivery document
Checking packaging marking
1Assistance with information and
related costs
B THE BUYERS OBLIGATIONS

CGeneral obligations of the buyer
CLicences, authorizations, security
clearances and other formalities
CContracts of carriage and insurance
CTaking delivery
CTransfer of risks
Division of costs
CNotice to the seller
Proof of delivery
Inspection of goods
1 Assistance with information and
related costs


First you analyse and define the relevant
obligation
Then you select the article that settles the
relevant obligation
Then you look up the applicable Incoterms rule.

Cargo
Invoices
A1
Contracts
Insurances
A3

Delivery
Document
A8
Private Duties/tasks


Regulations
Customs
Formalities

A2
Assitance
Other docs, security
related information
NOT succes obligations
A10
Goverment, regulations
Place
Point
Delivery
MAIN
OBLIGATION
B5
B6
NOTIFY ABOUT: Shipments, delivery
times, carriers, customs and security.
A7
Checking, Marking, Packing. A9
OTHER
OBLIGATIONS
THE INNER STRUCTURE ABOUT INCOTERMS
The way an expert decides

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RISK
A5
A6
COST

MASTERCLASS on Incoterms 2010 rules is
only provided by ICC at Headquarter (Paris), or
National Committees and local partner by an
Official Accredited Trainer belonging to Trainers
Bureau of ICC.

OFFICIAL AND only source (Official texts)

Incoterms2010 By International Chamber of Commerce. ICC rules for the use of domestic
and international trade terms. Publication 715E (English) , 715S (Spanish and English), ISBN
978-92-842-0080-1 , 978-84-89924-46-8. ICCBOOKS.COM



end