CIF Trade Terms-What does CIF mean-CIF International

CIF: cost (cost price, which is the price of the goods) insurance (insurer premium) and freitht (freight), is the cost plus insurance plus freight (designated destination port). CIF means that when the goods cross the ship's rail at the port of shipment (actually in the shipping cabin), the seller will complete the delivery. The freight, insurance, etc. of the goods from the port of shipment to the port of destination are paid by the seller, but the risk of damage and loss after the goods are shipped should be borne by the buyer. According to the CIF term, although the seller arranges the transportation of goods and handles cargo insurance, the seller does not assume the obligation to ensure that the goods are delivered to the agreed port of destination, because CIF is a term for shipment delivery, not a term for destination , That is to say, CIF is not 'CIF'.

CIF meaning

CIF: cost (cost price, which is the price of the goods) insurance (insurer premium) and freitht (freight), is the cost plus insurance plus freight (designated destination port). CIF means that when the goods cross the ship's rail at the port of shipment (actually in the shipping cabin), the seller will complete the delivery. The freight, insurance, etc. of the goods from the port of shipment to the port of destination are paid by the seller, but the risk of damage and loss after the goods are shipped should be borne by the buyer. According to the CIF term, although the seller arranges the transportation of goods and handles cargo insurance, the seller does not assume the obligation to ensure that the goods are delivered to the agreed port of destination, because CIF is a term for shipment delivery, not a term for destination , That is to say, CIF is not 'CIF'.

Buyer and seller obligations

Seller's main obligations

1. Within the time limit stipulated in the contract, deliver the goods conforming to the contract to the ship destined for the designated port of destination at the port of shipment, and give the buyer notice of shipment.

2. Responsible for exporting goods, obtaining export license or other approval certificate (origin, commodity inspection certificate, etc.)

3. Responsible for chartering or booking and paying the sea freight to the destination port.

4. Responsible for handling cargo transportation insurance and paying insurance premiums.

5. Responsible for all expenses and risks until the goods cross the ship's rail at the port of shipment.

6. Responsible for providing commercial invoices, insurance policies and shipment bills of lading, etc.

Buyer's main obligations

1. Pay the price according to the contract.

2. Responsible for handling import procedures to obtain import licenses or other approvals.

3. To bear all the costs and risks of the goods after crossing the ship's rail at the port of shipment.

4. Collect the goods delivered by the seller according to the contract, and accept the documents that are consistent with the contract.