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Describe the term FOB, CIF, FAS and EFP

Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 ROSHNI asked almost 3 years ago

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4 Answers
Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 narahari answered over 2 years ago

Technically there is not much of a difference between FAS (Read FAS) and FOB cost. FOB means the stage at which the goods are placed on board the conveyance carrying the vessel. It can be said to include FAS + loading charges + export duty cess.

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Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 lochan answered almost 3 years ago

Hi, FOB--free on board A trade term requiring the seller to deliver goods on board a vessel designated by the buyer. The seller fulfills its obligations to deliver when the goods have passed over the ship's rail. CIF-- cost insurance and freight A trade term requiring the seller to arrange for the carriage of goods by sea to a port of destination, and provide the buyer with the documents necessary to obtain the goods from the carrier. FAS-- free alongside A trade term requiring the seller to deliver goods to a named port alongside a vessel designated by the buyer. "Alongside" means that the goods are within reach of a ship's lifting tackle. EFP-- ex- factory price Ex-factory price refers to the cost a manufacturer charges for a distributor or other buyer to purchase products directly from the source. This is a quote for the goods alone. It does not include shipping, handling or taxes. This practice is common when working with raw materials for secondary manufacturing. Thanks

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Picsjoin 2017224123730582 Archana answered almost 3 years ago

Hie Roshni, **Term FOB & CIF can be describe as follows :-** FOB and CIF are the most popular commercial term in foreign trade. FoB means Free On Board. It means that all the costs up to the ship will be borne by the seller and once the goods are shiped the risk will pass on to buyer. CIF means Cost Insurance And freight. All the costs upto the port of destination will be borne by the seller and once the goods arive at the port of destination the risk will transfer to the buyer. All the terms are governed by the International Commercial Terms Draft. **Term FAS & EFP can be describes as follows :-** FAS is Free along Side.It is the cost at which the export goods are delivered alongside the ship, ready for shipment. It includes ex-factory +local freight + local taxes. EFP is Ex-Factory Price. It is the price of the goods as comes out of the factory. It includes cost of production and manufacturer’s margin of profit.

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Data?1494421730 rohit awasthi answered almost 3 years ago

Dear friend -- FOB - FOB means Free on Board. Technically there is not much of a difference between FAS (Read FAS) and FOB cost. FOB means the stage at which the goods are placed on board the conveyance carrying the vessel. It can be said to include FAS + loading charges + export duty cess. -- CIF – CIF means Cost Insurance Freight. It is the cost at which the goods are delivered at the Indian port. It covers cost of goods. Sometimes there is referred as CFC also. -- FAS – FAS means Free along Side. It is the cost at which the export goods are delivered alongside the ship, ready for shipment. It includes ex-factory +local freight + local taxes. -- EFP – EFP means Ex-Factory Price. It is the price of the goods as comes out of the factory. It includes cost of production and manufacturer’s margin of profit.

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