Atso Tek
All field notes
MARKET 5 min read Atso Tek Trade Desk

Choosing your Incoterm: FOB vs CIF vs DAP for tonnage shipments.

When each rule actually saves you money, when it costs you, and what to ask your freight forwarder before signing the pro forma.

Three Incoterms cover roughly 90% of the zinc dust shipments leaving our Istanbul desk: FOB, CIF and DAP. Picking the wrong one for your operation is one of the most common ways buyers leak margin on tonnage orders.

FOB (Free on Board)

Risk transfers at the loading port. You arrange ocean freight and import clearance, we arrange origin handling and loading. Best when you have a strong forwarder relationship at destination and want full control of routing.

CIF (Cost, Insurance, Freight)

We pay ocean freight and insurance to the named destination port. Risk still transfers at the load port. Which surprises a lot of first-time buyers. Best when you do not yet have a forwarder of record at destination.

DAP (Delivered at Place)

We deliver to your named place. Your warehouse, your blender, your tolling site. You handle import clearance and duties. Best when you want one number on the pro forma and minimal coordination work.

Common gotchas

  • CIF insurance is usually the minimum cover (Institute Cargo Clauses C). If your goods need broader cover, ask up front.
  • DAP does not include duties. DDP would. Confirm which one is on your pro forma.
  • L/C terms must reference the Incoterm version (Incoterms 2020). Mixing 2010 and 2020 phrasing causes bank rejections.

We are set up for all four common rules. FOB, CIF, CFR and DAP. Across European, MENA and Asia Pacific destinations. Tell us your destination and your finance preference, and we will quote the cleanest structure on the next business day.

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