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An Incoterm is not a commercial detail. It designs risk.
KNOWLEDGE CENTER

An Incoterm is not a commercial detail. It designs risk.

A practical guide to responsibilities, costs and transfer points before closing an international purchase.

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01 — DIRECT ANSWER

What you need to know before moving forward.

Incoterms organize delivery, cost and risk between seller and buyer, but do not determine ownership, payment or every contract term. Selection should consider mode, control, documents, insurance and origin and destination charges.

02 — PRACTICAL GUIDE

Criteria that change the operational outcome.

01

Any mode

EXW, FCA, CPT, CIP, DAP, DPU and DDP can be used across transport modes. FCA often provides more practical control than EXW for export flows.

02

Sea and inland waterway

FAS, FOB, CFR and CIF apply to sea or inland waterway transport. For container cargo, FCA may be more appropriate than applying FOB automatically.

03

Operational decision

Before ordering, record the named place, Incoterms version, document responsibilities, insurance and who controls freight procurement.

FAQ

Frequently asked questions

Objective answers to guide the conversation. Every shipment still requires validation of its specific conditions.

Which Incoterm is best for importing?+

There is no universal best term. It depends on negotiating power, operational knowledge, desired control and tax and customs structure.

Is DDP always easier?+

Not always. The seller must be able to meet obligations in the destination country; tax and registration aspects require specialist validation.

Will Lima Cargo select the Incoterm for me?+

We support operational and cost comparison. Contractual definition should be validated by the responsible legal, tax and commercial teams.

NEXT STEPS

Turn information into an executable route.

Share your operating context. The Lima Cargo team reviews assumptions, identifies gaps and recommends the next action.

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