FCA — Free Carrier

The seller clears the goods for export and hands them to the carrier nominated by the buyer at a named place — its own premises or a terminal, warehouse or airport.

Transport: Any mode
Main carriage: The buyer books and pays the main carriage.
Risk passes: On handover to the buyer's carrier: loaded onto the collecting vehicle if the place is the seller's premises, or ready for unloading from the seller's vehicle at any other place.
Insurance: Not required

Who pays and who carries the risk

Seller Buyer

Export clearance

Loading at seller

Transport to terminal

Origin terminal & loading

Main carriage

Destination terminal & unloading

Import clearance & duties

Delivery to buyer

Unloading at buyer

CostsRisk

Risk passes to buyer

Export clearanceSeller
Loading at sellerSeller
Risk passes to buyer
Transport to terminalBuyer
Origin terminal & loadingBuyer
Main carriageBuyer
Destination terminal & unloadingBuyer
Import clearance & dutiesBuyer
Delivery to buyerBuyer
Unloading at buyerBuyer

Shown with the seller's premises as the named place. If the named place is a terminal, the seller also pays transport to it and risk passes there.

Seller

Clear the goods for export
Deliver to the buyer's carrier at the named place (and load, if it is the seller's premises)
Provide proof of delivery

Buyer

Nominate the carrier and pay the main carriage
Bear risk from delivery onwards
Clear the goods for import and pay duties
Insure the cargo if it wants cover

When to use it

Most containerised and groupage shipments where the buyer controls the freight. The recommended alternative to EXW and, for containers, to FOB.

Watch out

Name the place precisely — the seller's premises and a terminal mean different loading duties. If the seller needs an on-board bill of lading for a letter of credit, agree that the buyer's carrier will issue it (an option added in 2020).

Not sure which term to agree?

Tell us the route and the cargo — we'll suggest the term that fits and quote the freight for it.

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Other Incoterms® rules

EXWEx Works CPTCarriage Paid To CIPCarriage and Insurance Paid To DAPDelivered at Place DPUDelivered at Place Unloaded DDPDelivered Duty Paid FASFree Alongside Ship FOBFree On Board CFRCost and Freight CIFCost, Insurance and Freight Incoterms® guide

Incoterms® is a registered trademark of the International Chamber of Commerce. This guide is Cargo 4S's own summary for everyday use; for the complete rules see the official ICC Incoterms® 2020 publication.

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