New
Incoterms 2010 come into effect 1 January 2011
The
International Chamber of Commerce (ICC) has announced that Incoterms® 2010
is scheduled to be launched in September and come into effect on January
1, 2011.
To keep up with the rapid expansion of world trade
and globalization, the Incoterms rules are revised about once a decade.
Since the last revision in 2000, much has changed in global trade and the
current revision will take into account issues such as developments in
cargo security and the need to replace paper documents with electronic ones.

“Get familiar with the New Incoterms 2010. You may need to
renegotiate any of your contracts that may be affected by the changes”.
Lance Scoular, The Savvy
Navigator
Founding Partner and CEO,
Key Directions.
Although
the book has not been officially released, some details have been
released. The 2010 edition will include 11 terms instead of the 13 in the
previous edition.
The
following terms from Incoterms 2000 have been deleted from the list: DAF,
DES, DEQ and DDU.
Two new
terms have been added to the list: DAT and DAP.
Whilst
Incoterms 2000 had four categories, Incoterms 2010 only has two
categories.
The
Incoterms 2010 are arranged in two categories as follows:
Rules
for Any Mode of Transport
CIP -
Carriage and Insurance Paid
CPT - Carriage Paid To
DAP - Delivered At Place
DAT - Delivered At Terminal
DDP - Delivered Duty Paid
EXW - Ex Works
FCA - Free Carrier
Rules for Sea and Inland Waterway
Transport Only
CFR
- Cost and Freight
CIF - Cost, Insurance and Freight
FAS - Free Alongside Ship
FOB - Free On Board
In addition to the 11 rules, Incoterms®
2010 includes:
•
Extensive guidance notes and illustrative graphics to help users
efficiently choose the right rule for each transaction;
• New classifications to help choosing the most suitable rule in relation
to the mode of transport;
• Advice for the use of electronic procedures;
• Information on security-related clearances for shipments;
• Advice for the use of Incoterms® 2010 in domestic trade.
Used in
international and domestic contracts for the sale of goods, Incoterms
help parties avoid misunderstandings by clearly identifying the obligations
of the buyer and seller.
Featuring
the two new rules, the Incoterms 2010 edition reflects advances in
international trade over the last decade, and is an essential tool for
trade. Used in both international and domestic contracts for the sale of
goods, the rules simplify the drafting of such contracts and help avoid
misunderstandings by clearly setting out certain obligations of buyers
and sellers
“PEASE CALL US ON TRANING INFORMATION
REGARDING THIS NEW INCOTERMS”
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