International Commercial Terms (Incoterms®) Clarification
Eco Jersey works with clients across different countries, and we understand that international shipping responsibilities must be clearly defined. To avoid confusion, we outline below how we handle commonly used Incoterms for custom and bulk orders.
All commercial terms must be agreed in writing at the time of order confirmation and will be clearly mentioned on the invoice.
EXW – Ex Works
Under Ex Works terms, we make the finished goods available at our manufacturing facility. From that point onward, the buyer takes full responsibility for transportation.
This means the customer arranges pickup, export clearance, freight booking, insurance, import clearance, and final delivery. Risk transfers to the buyer once the goods are ready for collection at our premises.
EXW is generally preferred by experienced buyers who work with their own freight forwarders and manage logistics independently.
FOB – Free On Board
With FOB terms, Eco Jersey handles the production of goods, export documentation, and delivery to the agreed port of shipment. We ensure the goods are properly loaded onto the vessel.
Once the shipment is loaded on board at the port, responsibility and risk transfer to the customer. From that stage onward, the buyer manages ocean freight, insurance, destination port charges, customs clearance, and inland delivery.
FOB is commonly used for larger sea freight shipments where the buyer wants control over international transport.
CIF – Cost, Insurance & Freight
Under CIF arrangements, we organize and pay for the ocean freight to the destination port and arrange basic marine insurance. We also complete export documentation.
Even though we arrange the shipping, risk still transfers to the customer once the goods are loaded onto the vessel at the port of shipment. After arrival at the destination port, the buyer is responsible for customs clearance, duties, taxes, and inland transportation.
CIF is often chosen by customers who prefer the manufacturer to manage the shipping process up to the destination port.
DDP – Delivered Duty Paid
DDP is the most comprehensive shipping option. Under this term, Eco Jersey manages production, export procedures, international shipping, import clearance, and final delivery to the customer’s address. Duties and taxes are included only if agreed in writing before order confirmation.
This option provides maximum convenience for the buyer, as the shipment is handled door-to-door. However, due to variations in customs regulations and tax structures across countries, DDP must always be clearly agreed upon in advance.
Courier & Air Shipments
For smaller or urgent bulk orders, we may use international courier services or air freight. In most cases, we arrange the shipment, while the customer remains responsible for any import duties, VAT, or clearance charges unless otherwise specified on the invoice.
Shipping arrangements and responsibilities will always be clarified before dispatch.
Important Clarification
Incoterms define transportation responsibilities and risk transfer. They do not define payment structure or ownership transfer. Payment terms and production timelines are governed separately under our Production and Payment Policies.
Final Note
Choosing the right Incoterm depends on your logistics experience, destination country regulations, and level of control you prefer over shipping.
We encourage all clients to discuss shipping terms with us before confirming an order. Clear agreement at the beginning ensures smooth delivery and prevents misunderstandings later.
