In
practice, trade terms are written with either all upper
case letters (e.g. FOB, CFR, CIF, and FAS) or all lower
case letters (e.g. fob, cfr, cif, and fas). They may be
written with periods (e.g. F.O.B. and c.i.f.).
In international trade, it
would be best for exporters to refrain, wherever possible,
from dealing in trade terms that would hold the seller responsible
for the import customs clearance and/or payment of import
customs duties and taxes and/or other costs and risks at
the buyer's end, for example the trade terms DEQ
(Delivered Ex Quay) and DDP (Delivered
Duty Paid). Quite often, the charges and expenses at the
buyer's end may cost more to the seller than anticipated.
To overcome losses, hire a reliable customs broker or freight
forwarder in the importing country to handle the import
routines.
Similarly, it would be best
for importers not to deal in EXW (Ex Works),
which would hold the buyer responsible for the export customs
clearance, payment of export customs charges and taxes,
and other costs and risks at the seller's end. |
