The International Chamber of Commerce (ICC) launched the latest revision of its internationally-recognized trade terms Incoterms® 2010. The rules, used by companies in countless business transactions all over the world, came into effect on 1 January 2011.
Incoterms® rules define the responsibilities of buyers and sellers for the delivery of goods under sales contracts. Incoterms® 2010 takes into account the latest developments in commercial practice, updates and consolidates some of the former rules such as changes in cargo security and the increased use of electronic communications in business transactions.
Revisions have been made to ensure that the wording of the Incoterms® rules clearly and accurately reflects present-day trade practices.
On 2nd of February 2011 our Bureau participated in a seminar regarding "INCOTERMS 2010" organized by the Chamber of Commerce and Industry of the Republic of Moldova in partnership with Berlin Partner GmbH, having as rapporteur mr. Christian Treichel, strategic advisor for foreign trades.
We would like to share you the main aspects of the seminar.
A new classification system divides the 11 Incoterms® rules into two distinct groups:
Rules for any mode of transport: EXW FCA CPT CIP DAT DAP DDPRules for waterway transport: FAS FOB CFR CIF
The rules DAF, DES, DEQ and DDU have been abolished.
In addition to the 11 rules, Incoterms®2010 includes:
Extensive guidance notes and illustrative graphics to help users efficiently choose the right rule for each transaction;· New classification to help choosing the most suitable rule in relation to the mode of transport;· Advice for the use of electronic procedures;· Information on security-related clearances for shipments;· Advice for the use of Incoterms® 2010 in domestic trade.
We recommend you to start using Incoterms®2010 as it is more user friendly, more efficient and less risky. The entering into force starting with the 1st January 2011 of Incoterms®2010 shall not affect the contracts concluded within the 2010 and that are still in force.