Most commonly Available Products & Incoterms
FOB Delivery Ports – Rotterdam, Houston, Jurong, and Houston
CIF Delivery Ports – International Shipping Routes
Jet A1
All finished products are accompanied by regional markets of Kazakhstan, Netherlands, Turkmenistan, and USA origins entitlement.
D6
All finished products are accompanied by regional markets of Kazakhstan, Netherlands, Turkmenistan, and USA origins entitlement.
EN590
All finished products are accompanied by regional markets of Kazakhstan, Netherlands, Turkmenistan, and USA origins entitlement.
LPG
All finished products are accompanied by regional markets of Kazakhstan, Netherlands, Turkmenistan, and USA origins entitlement.
LNG
All finished products are accompanied by regional markets of Kazakhstan, Netherlands, Turkmenistan, and USA origins entitlement.
LPG
All finished products are accompanied by regional markets of Kazakhstan, Netherlands, Turkmenistan, and USA origins entitlement.
Origin
All products come with specified regional markets for their origins, including Kazakhstan, the Netherlands, Turkmenistan, the United States, and Poland. Each of these regions offers unique characteristics and features that contribute to the overall quality and appeal of the products.
Specifications
All products adhere to international standard specifications, ensuring that they meet globally recognized quality, safety, and performance criteria. This commitment to conformity not only guarantees the reliability and trustworthiness of our offerings but also aligns with industry norms and regulatory requirements across various markets
Incoterms
When engaging in international trade, understanding Incoterms (International Commercial Terms) is crucial for ensuring smooth transactions and minimizing potential misunderstandings between buyers and sellers. Two of the most commonly used Incoterms are CIF (Cost, Insurance, and Freight) and FOB (Free on Board). Below, we break down each term to help you navigate your shipping processes effectively.
What is CIF (Cost, Insurance, and Freight)?
CIF stands for Cost, Insurance, and Freight. Under this Incoterm, the seller takes on a significant portion of responsibility during the shipping process.
Key Features of CIF:
1. Seller’s Responsibilities: The seller is responsible for arranging and paying for the transportation of goods to the designated port of destination. This includes freight charges.
2. Insurance: The seller must also procure marine insurance, covering the buyer’s goods against loss or damage during transit. This protects the buyer’s interests and provides peace of mind.
3. Risk Transfer: Although the seller bears the costs, the risk transfers to the buyer once the goods are loaded onto the vessel at the port of shipment. This means that after the goods are on board, the buyer assumes the risk of loss or damage.
4. Documentation: The seller must provide the buyer with all necessary documents, including the bill of lading and an insurance policy.
When to Use CIF:
CIF is often preferred in situations where the seller has better access to shipping routes or can negotiate better freight insurance. It’s a popular choice for bulk goods, especially when the buyer is in a position to trust the seller’s logistics capabilities.
What is FOB (Free on Board)?
FOB, or Free on Board, establishes clear delineation of responsibilities between buyers and sellers in the shipping process.
Key Features of FOB:
1. Seller’s Responsibilities: The seller is responsible for the goods until they are loaded onto the vessel at the port of shipment. This includes export clearance.
2. Risk Transfer: The risk transfers to the buyer once the goods are loaded on board. After this point, any losses or damages incurred during transit are the buyer’s responsibility.
3. Cost Assumption: The buyer pays for all costs associated with shipping the goods from the port of shipment to their final destination, which includes freight and insurance.
4. Flexibility: Buyers often prefer FOB terms as they provide more control over shipping methods and insurance arrangements.
When to Use FOB:
FOB is recommended for buyers who want to manage their shipping logistics or when they have established relationships with shipping companies. It allows for greater flexibility in selecting carriers and freight options.
Conclusion
Choosing the right Incoterm, be it CIF or FOB, is pivotal for successful international trade transactions. CIF may be suitable for buyers prioritizing convenience and coverage, while FOB may appeal to those wanting control over shipping logistics. Understanding these terms helps in maximizing efficiency and minimizing risks associated with international shipping.