Cost and Freight (CFR) means that the seller pays for transportation to the port of shipment , loading and freight. The buyer pays for the insurance and transportation of the goods from the port of destination to his factory. In order words, under CFR, the seller does not have to procure marine insurance against the risk of loss or damage to the goods during transit. The passing of risks occurs when the goods pass the ship's rail at the port of shipment which means that this term cannot be used for airfreight or land transport and also is inappropriate for most containerised sea shipments - the term CPT is the appropriate one for these.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment