Difference between FCA and CPT under Inco terms

CPT Vs.FCA under Delivery rules of ICC 2020 (Inco terms)

Free Carrier to a named place FCA   and Carriage Paid To a named destination

 

Here, let us distinguish between FCA and CPT. 

 

Usually under FCA, named place is in Seller’s country where under CPT terms, the named place is in Buyer’s country.  

Under FCA terms,   when goods reached at the named place at Seller’s country, the seller’s responsibility  of costs and risks on movement of goods transfers to the buyer.  However, under CPT terms, the seller’s responsibility of cost ends when goods reached at the named place in buyer’s country.  However, under CPT terms, the risk transfers to the buyer from seller immediately up on the goods delivered to the main carriage.  So under CPT, costs and risks do not move equally from seller to buyer, compared to FCA.

Under CPT, the main carriage is undertaken by the seller.  But under FCA, the buyer is responsible for the costs and risk of main carriage.  So the control over main carriage, freight selection and export data are with the exporter under CPT terms where under FCA, such advantages lacking with the Seller.

 

CPT – Carriage Paid To (named Place)

 

FCA –Free Carriage (named Place)

 

Costs

Risks

 

 

Costs

Risks

Warehouse services

Seller

Seller

 

Warehouse services

Seller

Seller

Marking and labeling

Seller

Seller

 

Marking and labeling

Seller

Seller

Packing of Goods

Seller

Seller                                   

 

Packing of Goods

Seller

Seller                                   

Loading at Seller’s premises

Seller

Seller

 

Loading at Seller’s premises

Seller

Seller

Transportation from Seller’s

premises to Load port

Seller

Seller

 

Transportation from Seller’s

premises to Load port

Seller

Seller

Unloading at Loading Port

Seller

Seller

 

Unloading at Loading Port

Seller

Seller

Loading to Vessel/Aircraft

Seller

Buyer

 

Loading to Vessel/Aircraft

Buyer

Buyer

Export documentation

Seller

Buyer

 

Export documentation

Buyer

Buyer

Export Customs Clearance

Seller

Buyer

 

Export Customs Clearance

Buyer

Buyer

Export Taxes and duties (if any)

Seller

Buyer

 

Export Taxes and duties (if any)

Buyer

Buyer

Handling Charges at Load Port

Seller

Buyer

 

Handling Charges at Load Port

Buyer

Buyer

Main Carriage

(Ocean Freight/Airfreight)

Seller

Buyer

 

Main Carriage

(Ocean Freight/Airfreight)

Buyer

Buyer

Import Customs Clearance

Buyer

Buyer

 

Import Customs Clearance

Buyer

Buyer

Import Documentation

Buyer

Buyer

 

Import Documentation

Buyer

Buyer

Import Taxes and Duties (if any)

Buyer

Buyer

 

Import Taxes and Duties (if any)

Buyer

Buyer

Transportation from destination

port to named place

Seller

Buyer

 

Transportation from destination

port to named place

Buyer

Buyer

Unloading at named place

Buyer

Buyer

 

Unloading at named place

Buyer

Buyer

 

Detailed posts about FCA and CPT may be read by clicking the below links to understand the difference easily:

 

CPT  Carriage Paid To

 

FCA  Free Carrier

 

Hope, the above information about difference between FCA and CPT helps you.  You may also share your experience about the above subject - distinguish between CPT and FCA below by commenting.

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