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Incoterms® 2020 · F: main carriage unpaid

FCA Free Carrier

The seller clears the goods for export and hands them to the buyer's carrier at a named place. The most flexible rule for container and air cargo.

Get a quote on FCA terms All 11 rules
Delivery point
At the seller's premises, loaded on the buyer's vehicle; or at another named place, such as a terminal, ready for unloading
Risk passes
When the goods are handed over to the carrier or person nominated by the buyer at the named place
Transport mode
Any mode, including multimodal
Export clearance
Seller
Import clearance
Buyer
Insurance
Not required of either party

Responsibility matrix

Costs and risk, stage by stage

Under FCA the seller delivers the goods, cleared for export, to the carrier the buyer has chosen. If the named place is the seller's premises, the seller also loads the goods; if it is another place, such as a container terminal, the seller delivers them there on its truck, ready for unloading. The buyer pays the main carriage and bears the risk from delivery onward.

  • Seller pays
  • Buyer pays
  • Depends on the contract of carriage or the named place
  • Risk passes to the buyer
  1. 01 Loading at seller's premises Seller pays
  2. 02 Pre-carriage to export terminal Depends on the contract of carriage or the named place
  3. 03 Export clearance Seller pays
  4. 04 Origin terminal and loading on board Buyer pays
  5. 05 Main carriage Buyer pays
  6. 06 Destination terminal charges Buyer pays
  7. 07 Import clearance, duties and taxes Buyer pays
  8. 08 Carriage to named destination Buyer pays
  9. 09 Unloading at destination Buyer pays

Who does what

The seller must

  1. Deliver the goods to the buyer's carrier at the named place and time
  2. Load the goods if delivery is at the seller's premises
  3. Clear the goods for export and pay export duties and formalities
  4. Provide the usual proof of delivery; an on-board bill of lading if agreed
  5. Pay all costs until delivery, including security requirements before delivery

The buyer must

  1. Nominate the carrier and tell the seller the time and point of delivery
  2. Contract and pay for the main carriage
  3. Bear the risk from delivery to the carrier
  4. Clear the goods for import and pay duties and taxes
  5. If agreed, instruct its carrier to issue an on-board bill of lading to the seller

When to use it

  • Containerised sea freight (FCL and LCL) and air freight
  • You want to control freight with your own forwarder
  • You pay by letter of credit and need an on-board bill of lading: agree it in the contract

Be careful when

  • The named place is unclear: say exactly which warehouse, terminal or address
  • You have no forwarder able to collect in Vietnam

Tip for buying from Vietnam

FCA is the rule we recommend for most container orders from Vietnam: name the CFS or container yard, for example Cat Lai or Hai Phong, and the seller's responsibility ends where its control ends.

How to write it

FCA Cat Lai Container Terminal, Ho Chi Minh City, Vietnam, Incoterms® 2020

Compare with

This guide summarises the Incoterms® 2020 rules in plain language for planning. It is not the official text. Incoterms® and the Incoterms® 2020 logo are trademarks of the International Chamber of Commerce. For the full rules, see ICC publication No. 723E.

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