13 International Shipping Terms and Conditions in Export Import Business

The responsibility or obligation towards the shipped goods lies to who has become an important issue. INCO terms will dictate the responsibility of the seller till where and the responsibility of the buyer from where.

The INCO terms were evolved by the International Chamber of Commerce to provide a set of international rules for the interpretation of the chief terms used in the foreign trade contracts.

INCO terms were published first in 1936 and subsequently amended and added to in 1953, 1967, 1976, 1980 and 1990. The latest 2000 version defines 13 contract terms, providing an up to date set of rules broadly in the line with the current international trade practices.

Though the adoption of INCO terms is optional, the merchants wishing t use these rules should specify that their contacts will be governed by “INCO terms-2000”. The selection of an INCO term is accordance with the convenience of the parties concerned and as agreed by them.