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Our delivery or own collection – what’s the choice?

08 July 2023 |

When you buy windows from Win2Trade, you have a choice of delivery conditions carried out in Europe, using truck transport:

  1. CPT …. (delivery address), Incoterms 2020 – we deliver to the indicated address, or
  2. FCA Bialystok (factory), Incoterms 2020 – you collect the goods yourself from the factory under the terms of FCA factory or
  3. EXW Bialystok (factory), Incoterms 2020 – you collect yourself from the factory under the terms of EXW factory.

For deliveries by sea transport we use the formulas covering deliveries by ship described elsewhere.

What does Incoterms 2020 mean?

Incoterms formulas are abbreviations and terminology used in international trade, developed and maintained by the International Chamber of Commerce (ICC). Incoterms stands for International Commercial Terms. They are rules that define the rights and obligations of the seller and the buyer in international commercial transactions.

The Incoterms formulas describe what cost, risk and delivery obligations lie with the seller and what obligations lie with the buyer. Amongst other things, Incoterms specify where risk passes from the seller to the buyer, who pays for transport, insurance and customs charges, and what documents must be provided as part of the transaction.

The first Incoterms were defined in 1936 by the International Chamber of Commerce (ICC) in order to standardise international trade rules. These first Incoterms were called ‘Incoterms 1936’ and contained seven different trade terms. Since then, the International Chamber of Commerce (ICC) has introduced new versions of Incoterms. Each update has aimed to adapt the rules of international trade to the changing conditions and needs of the modern market. Since 1980, updates have occurred every 10 years. The latest revision, which is effective from 1 January 2020, is called ‘Incoterms 2020’ and includes 11 different trade terms.

 

We explain how the delivery terms differ:

1. CPT ….. (delivery address), (Carriage Paid To). In these cases, we organise and are responsible for the transport from the place of loading to the place of collection. We check that the goods are properly packed and that the carrier has adequately secured the transported goods. The buyer is only responsible for unloading. In addition, the goods are covered by CARGO insurance when they reach their destination. We would like to emphasise that this is CARGO insurance and not carrier liability insurance. We will explain what this means in another post on CARGO insurance.

The service includes: > packing and securing for transport > loading on the car > checking the security of the goods by the carrier > delivery to the designated location.

 

2.FCA Bialystok (factory), (Free Carrier). The buyer organises the delivery (transport) himself. He must ensure beforehand that the goods are properly packed for transport – if he purchases goods packed on pallets, which are charged extra, we load the pallets using a forklift truck. Our responsibility ends once the goods have been loaded. The sale is then on FCA factory terms.

The service includes: > release of the goods according to the order > loading with a forklift truck onto the car (only in the case of pre-ordered packing onto pallets)

 

3. EXW Białystok (factory), (Ex Works – on factory conditions). The buyer is responsible for the entire process of loading-transport-unloading. Packing is not included in the price of the windows. If the buyer picks up the goods in bulk, we will place the goods next to the vehicle, while the physical loading of the goods itself is the responsibility of the buyer. This variant – EXW factory, means that our responsibility ends once the goods have been placed under loading.

The service includes: > delivery of the goods (in bulk) from the factory warehouse – substitution next to the vehicle (the carrier loads himself).

 

If the buyer organises the collection from the factory himself and sends his own transport, he should ensure that the driver has transport straps to secure the goods. Securing the goods on the vehicle is a basic obligation of the carrier.

 

99% of deliveries using truck transport are carried out under CPT delivery conditions …… place of delivery

 

 

 

 

 

 

 

 

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