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Information International rules and organization Incoterms 2010 [iNKOTERMS 2010] EXW - EX Works - EXW

EXW

Incoterms 2010

EX WORKS [... named place]
Ex Works [... named place]

This term may be used irrespective of the chosen mode of transport and by using more than one mode of transport. It is suitable for internal trade, while the FCA (Free Carrier) is commonly used in international trade.
"Ex Works" ( "Ex Works") means that the seller delivers when he makes the goods available to the buyer at its premises or at any other agreed location (ie the company, stock, etc.). Seller not necessarily carry the goods loaded on any vehicle, it is also not obliged to carry out formalities for export, if applicable.
Parties are encouraged to most accurately determine the point at the named place of delivery, as well as the fact that up to this point the costs and risks lie with the seller. The buyer bears all costs and risks associated with the adoption of the goods at the agreed point (if specified) to the named place of delivery.
EXW holds the seller's minimum obligation. This term should be used with caution, as:
a) from the seller to the buyer is not the duty of loading the goods, but the seller is actually in a better position to implement it. If the seller actually performs the loading of the goods, it does so at the expense and risk of the buyer. Where in relation to the loading of the goods the seller is in a better position, usually appropriate to use the term FCA (Free Carrier), which obliges the seller to carry out loading at its own risk and expense.
b) the buyer acquires from the seller of goods for exports on terms EXW (Ex Works), be aware that the seller is only required to provide the buyer such assistance as he may to this need: the seller is not obliged to organize the customs formalities for export (customs clearance for export). Therefore, the buyer is not recommended to use the term EXW (Ex Works), if he neposredstvwenno or indirectly to customs formalities for export.
c) the buyer has a limited obligation to provide the seller any information relating to the export of goods. However, the seller may need this information, for example, for tax purposes, or for enterprise reporting.

A comment:
EXW (short from the English letters Ex Works from a place of work; it - ab Werk....). Russian "Pickup" is also used.
The seller delivers the goods to the buyer at the plant, factory, mine, warehouse, etc. You go to the store, weigh a kilogram of sausage, you pack it, pay at the cashier account and buy goods on EXW terms. This is the most basic conditions for the seller and at the same time the most difficult for the buyer, in terms of the complexity, the complexity of the organization. But at the same time the price of goods is the most preferred to buy, and this means that there is an opportunity for additional income.
In general, if the buyer is familiar with the features of the product itself, its behavior during transportation, has a reliable "local" forwarder confident in the reliability of the seller, it makes sense to save money.
What you need to consider the buyer:
- Specify in detail the parameters and characteristics of packages (including labeling);
- Taking into account the characteristics of packages and features of transportation of goods, determine the type of vehicle;
- Clarify the scope of delivery, it is desirable that it was a multiple vehicle volume that the seller should apply for loading (car, vehicle, container, etc.)
- Clearly agreed with the seller of the transfer location, indicating not only a geographical place (Moscow, for example), and with the exact address;
- Clearly agree on the timing of the vehicle for loading feed:
- To agree in advance with the seller, whose funds will be made loading. At whose expense is understandable, since in any case, the buyer pays. It is necessary to take into account the fact that even if the loading is done Seller forces, if there are no special clauses in the contract, the risk of loss or damage borne by the buyer. So be sure to coordinate with the customer and make the postscript in the contract "with loading on the risk of Seller" or "loaded on buyer risk";
- Define your reliable and "local" forwarder list of required documents for export of goods from the country and depending on the export of the country's legislation, determine and agree to the forwarding agent or seller who makes out what documents;
- Define the settings for receiving the seller of the goods in quality and quantity, including coordinate reception and transmission of documents, we issue clear instructions to their forwarding agent, if he will accept the goods:
- Coordinate with insurance companies, insurance conditions
Of course, this list is not complete and is dependent on the individual case, but under these conditions, supply the most significant buyer can express themselves and logistics, with a reasonable approach to bring additional profit.

THE SELLER

OBLIGATIONS OF THE BUYER

A.1. General obligations of the seller

B.1. General obligations of the buyer

The seller must, in accordance with the contract of sale provide the goods and the commercial invoice, the invoice, as well as any other evidence of conformity which may be required by the contract.
Any document referred to in paragraphs A1-A10 may be an equivalent electronic record or other procedure, if agreed by the parties or is common.

The buyer must pay the price of the goods, as provided for in the contract of sale.
Any document referred to in paragraphs B1-B10 may be an equivalent electronic record or other procedure, if agreed by the parties or is common.

A.2. Licenses, permits, security checks and formalities

B.2. Licenses, permits, security checks and formalities

If required, the seller must render the buyer, at his request, at his risk and expense, assistance in obtaining any export license or other official authorization necessary for the exportation of goods.
If required, the seller must provide at the request of the buyer, at his risk and expense, available from the seller information required to verify the safety of the goods.

If required, the buyer must obtain at his own expense and risk export and import license or other official authorization and carry out all customs formalities necessary for the export of goods.

A.3. carriage and insurance

B.3. carriage and insurance

a) Contract of carriage
The seller no duty to the buyer under the contract of carriage.
b) Contract of insurance
The seller no duty to the buyer under a contract of insurance. However, the seller must provide the buyer, at his request, at his risk and expense (if any costs), the information necessary for the buyer of insurance.

a) Contract of carriage
The buyer has no obligation to the seller to conclude a contract of carriage.
b) Contract of insurance
The buyer has no obligation to the seller to conclude a contract of insurance.

A.4. Supply

B.4. Taking delivery

The seller must deliver the goods by placing them at the disposal of the buyer at the agreed point (if any) at the named place of delivery, not loaded into the vehicle.
If you do not agree on the specific point at the named place, and if there are several points available, the seller may select the most appropriate place for it. The seller must deliver the goods on the date or within the agreed period.

The buyer must take delivery of the goods as soon as they have been delivered in accordance with paragraphs A4 and A7.

A.5. Transfer of risks

B.5. Transfer of risks

Seller shall bear all loss or damage to the goods until it is delivered in accordance with paragraph A4, with the exception of the risks of loss or damage in the circumstances referred to in paragraph B5. .

The buyer bears all risks of loss or damage to the goods from the moment of delivery in accordance with paragraph A4.
At default by the buyer obligations proper notice under paragraph B7 buyer bears all risks of loss or damage to the goods from the agreed date or the expiry date of the agreed delivery period, provided that the goods were explicitly individualized as a commodity, which is the subject of the contract.

A.6. Division of costs

B.6. Division of costs

The seller must pay all costs relating to the goods until they have been delivered in accordance with paragraph A4, except for expenses payable by the buyer in accordance with paragraph B6.

The buyer must:
a) pay all costs relating to the goods from the moment of delivery in accordance with paragraph A4;
b) all additional costs incurred due to the failure of the goods, after he had been placed at his disposal, or because of failure to give the appropriate notice, as required by paragraph B7, provided that the goods have been duly appropriated to the contract, ie, explicitly individualized as a commodity, which is the subject of the contract;
c) if required, bear the cost of the payment of taxes, duties and other official charges payable upon export of the goods, and
d) to reimburse the seller all incurred costs and charges provided for in the implementation of paragraph A2 assistance.

A.7. Notice to the buyer

B.7. Notice to the seller

The seller must provide the buyer with any notice required the buyer to accept the goods.

If the buyer is entitled to determine the time within an agreed period and / or the point of taking delivery at the named place, he must account to the seller of this message required.

A.8. Document delivery

B.8. Proof of delivery

The seller no duty to the buyer.

The buyer must provide the seller with appropriate evidence of taking delivery.

A.9. Checking, packaging, labeling

B.9. Inspection of goods

The seller must pay all costs associated with checking (checking quality, measuring, weighing, counting) which are necessary for the delivery of goods in accordance with paragraph A4.
The seller must at his own expense packaging of goods, except in cases when the particular trade is usually taken to ship specified in the contract goods unpacked. The seller can pack the goods in such a way as is necessary for its transportation, unless the buyer to sign the purchase contract does not notify the seller of specific packaging requirements. Marking packaged goods must be carried out properly.

The buyer must pay the costs for the mandatory inspection of goods before shipment, including the inspection, which is carried out by order of the authorities of the exporting country.

A.10. Assistance in obtaining information and relating to this expenditure

B.10. Assistance in obtaining information and relating to this expenditure

If need be, the seller is obliged to provide the purchaser or to assist him in obtaining the buyer, at his request, at his risk and expense, documents and information, including important safety information, which may require the buyer for export and / or import of goods and / or transportation to the final destination.

Assistance in obtaining information and relating to this expenditure
The buyer is obliged to inform the seller about the requirements for the provision of safety information, so that the seller could act in accordance with paragraph A10.
The buyer must reimburse the seller incurred by him for any costs and charges for providing or rendering assistance in obtaining documents and information as provided for in paragraph A10.