Customs Brokerage 101: Simplifying a Few Incoterms

Today, we’re diving into the fascinating world of international trade and customs brokerage. One area that often perplexes businesses engaged in international trade is understanding and applying Incoterms. As a trusted logistics company in Harbor City, California, we know that the language of trade is a crucial component of seamless global logistics. 

As a logistics solution provider in California, we’ll clarify these incoterms to help you navigate the complexities of global trade more effectively:

• Free on Board (FOB)
  This means the seller delivers the goods on board the vessel nominated by the buyer at the named port of shipment or procures the goods already delivered. The risk of loss or damage to the goods passes when the products are on board the vessel, and the buyer bears all costs from that moment onwards.
• Delivery at Terminal (DAP)
  This means the seller delivers when the goods are placed at the disposal of the buyer on the arriving means of transport ready for unloading at the named place at the destination.
• Delivery Duty Paid (DDP)
  This means the seller delivers the goods when the goods are placed at the disposal of the buyer, cleared for import on the arriving means of transport, and ready for unloading at the named place at the destination. The seller bears all the costs and risks in bringing the goods to its destination.

Incoterms is a fundamental aspect of international trade. It can make a significant difference in the efficiency and cost-effectiveness of your supply chain.

With the support of Agogo Cargo, you can navigate these complexities confidently. We’re here to simplify the customs clearance process, ensuring that your business leverages opportunities for optimization.

If you have any questions or need assistance with freight forwarding services in California, contact us anytime.