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Incoterms for road-freight planning

Understand the separation of transport cost, delivery, risk and obligations in shipment planning.

Separate costs from risk

Incoterms rules allocate costs, risks and obligations between the buyer and seller. The party paying for transport is not necessarily the party bearing risk throughout the journey. Use the selected rule, its precise named place and the stated edition together.

Questions before writing a term

Who arranges the main carriage? Where does delivery occur? Who handles loading or unloading? Which party handles the relevant clearance obligations? What insurance arrangement is required? Confirm answers from the chosen rule and the actual contracts rather than from a three-letter code alone.

Write the named place clearly

A clear reference identifies the rule, an unambiguous location and the edition, such as an agreed FCA location with Incoterms 2020. The example is a writing pattern, not a recommendation for every shipment. Check that the sale and transport arrangements do not contradict each other.

Compare quotations on the same basis

Record freight, handling, waiting and excluded services separately. Do not copy maritime-only rules into a road operation without checking their scope. Consult the official ICC text for the full rule and obtain transaction-specific advice where needed.

Sources and official references

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