FCA, or Free Carrier, is an Incoterms rule under which the seller delivers export-cleared goods to the buyer’s nominated carrier or other person at the agreed place. Risk transfers at that delivery point.
What does the seller handle?
The seller packages the goods, completes export formalities and delivers them as agreed. If delivery is at the seller’s premises, the seller loads the buyer’s vehicle.
What does the buyer handle?
The buyer arranges main carriage, insurance if desired, import clearance and costs after the delivery point.
Why is the named place important?
FCA responsibilities differ depending on whether delivery is at the seller’s premises or another location. State the address and exact handoff point.
FCA versus EXW
FCA normally requires the seller to clear goods for export and may require loading. EXW places more responsibility on the buyer and can be impractical where the buyer cannot complete export formalities.
When is FCA useful?
It is suitable for any mode and often fits container shipments handed to a carrier at a warehouse or terminal before vessel loading.
