Conditions in Incoterms 2000:

• There are 13 conditions

• divided into 4 groups: E, F, C, and D, based on the initial letters of each condition.

• The seller's obligations increase progressively according to these groups. E < F < C < D.

• Group E
  1. EXW – Ex Works (... named place): Delivery at the factory (... specified location)

  Condition 1: Transport mode: All modes: Road, sea, air, or a combination.

  Condition 2: Transfer of cost: At the seller's premises, ready for loading.
  (ready for loading means the goods are packed, securely strapped, and in the most convenient condition for loading, not as loose, unpackaged, or with parts scattered)

  Condition 3: Transfer of risk: At the seller's premises, ready for loading.

  Condition 4: Unloading: Seller. (Unloading means making the goods ready for the buyer to load. If goods are elevated, they must be lowered if requested) Loading: Buyer

  Condition 4: Insurance: No requirement for anyone. (However, anyone can buy additional insurance if deemed necessary)

  Condition 5: Customs procedures: Export: Buyer.

• Group F
  2. FCA – Free Carrier (... named place): Delivery to the carrier (... specified location)

  Condition 1: Transport mode: All modes.

  Condition 2: Transfer of cost: At the seller's premises or another location as specified.

  Condition 3: Transfer of risk: When goods are delivered to the first carrier

  Condition 4:

  • At the seller's premises:

    • Seller must unload goods to the loading area (if any) and then load onto the transport specified by the buyer.

  • At another location:

    • Seller must load goods onto the buyer's vehicle and transport to the delivery location. Buyer must unload goods from the seller's vehicle at the delivery point.

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

  3. FAS – Free Alongside Ship (... named port of shipment): Delivery alongside the ship (... specified loading port)

  Condition 1: Transport mode: Only for sea and inland waterway transport.

  Condition 2: Transfer of cost: Alongside the ship at the loading port.

  Condition 3: Transfer of risk: Alongside the ship at the loading port.

  Condition 4:

  • Unloading: Seller.
    (Unloading here means from the seller's transport to the ship's side)

  • Loading: Buyer. (Loading onto the ship)

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

  4. FOB – Free On Board (... named port of shipment): Delivery onboard the ship (... specified loading port)

  Condition 1: Transport mode: Only for sea and inland waterway transport.

  Condition 2: Transfer of cost: Over the ship's rail at the loading port.
  (This implies that the boundary is the ship's rail, and goods are considered as transferred even if suspended in the air)

  Condition 3: Transfer of risk: Over the ship's rail at the loading port.

  Condition 4:

  • Unloading: Seller. (Unloading here is from the transport to the ship’s side or to the container yard at the port)

  • Loading: Buyer. (Loading onto the ship).

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

• Group C
  5. CFR – Cost and Freight (... named port of destination): Cost and Freight (... specified port of destination)

  Condition 1: Transport mode: Only for sea and inland waterway transport.

  Condition 2: Transfer of cost: Onboard the ship at the port of destination.

  Condition 3: Transfer of risk: Over the ship's rail at the loading port.

  Condition 4:

  • Unloading: Seller. (Unloading from the ship at the destination port)

  • Loading: Buyer. (Loading onto the transport at the destination port)

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

  6. CIF – Cost, Insurance, and Freight (... named port of destination): Cost, Insurance, and Freight (... specified port of destination)

  Condition 1: Transport mode: Only for sea and inland waterway transport.

  Condition 2: Transfer of cost: Onboard the ship at the port of destination.

  Condition 3: Transfer of risk: Over the ship's rail at the loading port.

  Condition 4:

  • Unloading: Seller.
    (Unloading here means from the seller's transport to the ship's side)

  • Loading: Buyer. (Loading onto the ship)

  Condition 5: Insurance: Seller is responsible for buying insurance for the buyer, providing at least minimal coverage. (Type C)

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

  7. CPT – Carriage Paid To (... named place of destination): Carriage paid to (... specified place of destination)

  Condition 1: Transport mode: All modes.

  Condition 2: Transfer of cost: At the named place of destination.

  Condition 3: Transfer of risk: At the moment the goods are delivered to the first carrier designated by the seller. If delivered to the first carrier at the seller's premises, risk is considered transferred.

  Condition 4:

  • Unloading: Seller.
    (Unloading here means from the seller's transport to the ship's side)

  • Loading: Buyer. (Loading onto the ship)

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

  Note: CPT and FCA are similar, differing mainly in that the seller arranges the transport in CPT, while in FCA, the buyer arranges the transport.

  8. CIP – Carriage and Insurance Paid To (... named place of destination): Carriage and insurance paid to (... specified place of destination)

  Condition 1: Transport mode: All modes.

  Condition 2: Transfer of cost: At the named place of destination.

  Condition 3: Transfer of risk: When goods are delivered to the first carrier designated by the seller.

  Condition 4:

  • Unloading: Seller.
    (Unloading here means from the seller's transport to the ship's side)

  • Loading: Buyer. (Loading onto the ship)

  Condition 5: Insurance: Seller is responsible for buying insurance for the buyer, providing at least minimal coverage. (Type C)

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

• Group D
  9. DAF – Delivery at Frontier (... named place): Delivery at the frontier (... specified location)

  Condition 1: Transport mode: All modes.

  Condition 2: Transfer of cost: At the specified place at the border, but before the customs border of the neighboring country. (Note: the border could be in the exporting or importing country).

  Condition 3: Transfer of risk: Goods are ready to be unloaded from the transport vehicle. Not yet unloaded.

  Condition 4:

  • Unloading: Seller.
    (Unloading here means from the seller's transport to the ship's side)

  • Loading: Buyer. (Loading onto the ship)

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

  10. DES – Delivery Ex Ship (... named port of destination): Delivery at the ship (... specified port of destination)

  Condition 1: Transport mode: Sea or inland waterway, or multimodal, but delivery must be at the ship at the port of destination.

  Condition 2: Transfer of cost: Goods are ready for unloading on the ship at the destination port before unloading.

  Condition 3: Transfer of risk: Goods are ready for unloading on the ship at the destination port before unloading.

  Condition 4:

  • Unloading: Seller.
    (Unloading from the ship at the destination port)

  • Loading: Buyer. (Loading after unloading at the destination port).

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

  11. DEQ – Delivery Ex Quay (... named port of destination): Delivery at the quay (... specified port of destination)

  Condition 1: Transport mode: Sea or inland waterway, or multimodal, but delivery must be at the ship at the port of destination.

  Condition 2: Transfer of cost: Goods are ready for unloading on the ship at the destination port before unloading.

  Condition 3: Transfer of risk: Goods are ready for unloading on the ship at the destination port before unloading.

  Condition 4:

  • Unloading: Seller.
    (Unloading from the ship at the destination port)

  • Loading: Buyer. (Loading after unloading at the destination port).

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

  12. DDU – Delivery Duty Unpaid (... named place of destination): Delivery unpaid of import duty (... specified place of destination)

  Condition 1: Transport mode: All modes.

  Condition 2: Transfer of cost: Goods on the transport at the destination place, not yet unloaded.

  Condition 3: Transfer of risk: Goods are ready for unloading on the transport at the destination place.

  Condition 4:

  • Unloading: Seller.
    (Unloading here means from the seller's transport to the ship's side)

  • Loading: Buyer. (Loading onto the ship)

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

  13. DDP – Delivery Duty Paid (... named place of destination): Delivery with duty paid (... specified place of destination)

  Condition 1: Transport mode: All modes.

  Condition 2: Transfer of cost: Goods on the transport at the destination place, not yet unloaded.

  Condition 3: Transfer of risk: Goods are ready for unloading on the transport at the destination place.

  Condition 4:

  • Unloading: Seller.
    (Unloading here means from the seller's transport to the ship's side)

  • Loading: Buyer. (Loading onto the ship)

  Condition 5: Insurance: No requirement for anyone.

  Condition 6: Customs procedures:

  • Export: Seller.

  • Import: Buyer.

Note: EXW involves the lowest seller obligation, whereas DDP involves the highest.