Incoterms 2020 — Complete Reference for Egyptian Exports
Incoterms 2020 reference for international commodity trade with Egypt. Full breakdown of all 11 Incoterms: EXW, FCA, CPT, CIP, DAP, DPU, DDP, FAS, FOB, CFR, CIF — when each is appropriate, who pays, who bears risk.
Incoterms 2020 — Complete Reference for Egyptian Exports
Incoterms (International Commercial Terms) are an ICC-published 11-term framework that defines responsibilities between seller and buyer in international trade. Every Sales Contract and Letter of Credit must reference a specific Incoterm + named place.
Egypt Globe Group quotes on all 11 Incoterms 2020. Default unless otherwise specified: CIF for sea freight, DAP for road freight.
Group 1: Any mode of transport (7 terms)
#### EXW — Ex Works
#### FCA — Free Carrier
#### CPT — Carriage Paid To
#### CIP — Carriage and Insurance Paid To
- Like CPT but seller arranges insurance to named destination
- 2020 update: minimum insurance now Institute Cargo Clauses (A) — full all-risks (previously Clause C minimum)
- Use when: containerised or multi-modal with insurance burden on seller
#### DAP — Delivered At Place
#### DPU — Delivered at Place Unloaded
- Like DAP but seller also unloads at destination
- Use when: heavy bagged cargo where seller arranges crane / forklift at destination terminal
#### DDP — Delivered Duty Paid
Group 2: Sea + inland waterway only (4 terms)
#### FAS — Free Alongside Ship
#### FOB — Free On Board
#### CFR — Cost and Freight (sometimes CNF)
- Like FOB but seller pays main freight to named port of destination
- Buyer pays: insurance (recommended), import clearance, on-carriage
- Use when: buyer wants delivered-to-destination pricing but arranges own marine insurance
#### CIF — Cost, Insurance and Freight
- Like CFR but seller pays both freight AND insurance to named port of destination
- 2020 update: minimum insurance Institute Cargo Clauses (C) (basic risks only — different from CIP which is now Clauses A)
- Most common term for trade through L/C: banks usually insist on CIF since insurance + freight are both in seller's control
| Buyer wants | Recommended Incoterm | Reason |
|---|---|---|
| Cheapest possible price, handles own logistics | EXW or FOB | Lowest seller responsibility |
| Standard L/C-compliant pricing | CIF | Bank-friendly, complete picture |
| Delivered to destination port, no surprises | CFR or CIF | Seller controls freight |
| Containerised, multi-modal | FCA or CIP | Modern container-era equivalents |
| Road delivery to GCC / North Africa | DAP | Trucked, unloaded by buyer |
| Zero hassle, everything done | DDP | Seller handles all customs + duty |
| Massive bulk vessel (50k+ MT) | FOB | Buyer arranges vessel charter |
Don't conflate Incoterm with payment terms
Incoterms govern delivery + risk + cost split. Payment terms (T/T advance, sight L/C, usance L/C, D/P, D/A) are separate and negotiated independently.
Insurance under CIF is minimal
CIF includes only Institute Cargo Clauses (C) minimum — basic FPA cover (fire, sinking, collision, jettison, general average). Doesn't cover theft, leakage, contamination. Most B2B buyers require CIF + Institute Cargo Clauses (A) uplift (all-risks) — quote separately or use CIP instead.
"FOB" with no port = ambiguous
Always specify: FOB Damietta, FOB Alexandria, FOB Ain Sokhna, etc. The named port matters — handling costs and inland transport vary significantly.
DDP to certain countries is impractical
DDP requires the seller to be the importer of record. For most countries this means having a local entity, tax registration, EORI number, etc. Not always feasible. Confirm before quoting DDP.
Default quote = FOB Damietta + freight indication + CIF total. We let you pick whichever Incoterm matches your procurement workflow.
Single-source consolidation: if you're combining multiple commodities into one vessel/container, we quote everything against the same Incoterm to simplify your L/C.
Request a quote on your preferred Incoterm →
View HS code reference →
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FOB / CIF / CFR pricing from 7 Egyptian ports — turnaround within 24 hours.
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