Incoterms® rules are a set of three letter acronyms which define the risks and responsibilities of buyers and sellers in international trade contracts and should be a key part of trade negotiations. But who is responsible for agreeing these terms and how well do they really understand them?
The correct use of Incoterms® rules is essential for the successful movement of goods between customers and suppliers around the globe. Getting them wrong can lead to delays, penalties, problems with payment and unhappy customers. Furthermore, your company may incur additional charges which erode profit margins.
Revised every ten years, the latest edition is Incoterms ® 2020. The rules are designed to keep pace with changes in international trade and the new definitions and revisions are designed to give greater clarity and precision to the terms. Which version of rules are you using – do you know the difference?
The UK’s separation from the EU in 2021 really put the spotlight on the significance of incoterms rules. Movements between the UK and the EU became exports and imports, requiring customs clearance and emphasising the legal obligations of the buyer and seller. Do you understand why use of the correct incoterms rules is so important and how these impact on your purchasing/sales contracts?
This is the course for people who want a detailed and focused commercial view of the Incoterms® 2020 standards. Attendees will also receive a copy of ICC Incoterms® 2020 Book.
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A great insight to Incoterms® 2020 with an overview of each incoterm in more detail.
This was a course that I felt that each business would benefit from.
Kiall Cornwell, Transvac Systems Ltd.
Overview
• The history and purpose of Incoterms
• An overview of Incoterms 2020
• Key terminology used in the Incoterms® rules
• The obligations of the buyer and seller
• Understanding risks and responsibilities
• The changes from Incoterms® 2010 to Incoterms ® 2020
• Practical issues which influence the choice of Incoterms® rule used
• Exercises to check delegates’ understanding of Incoterms® 2020
• Common mistakes when using Incoterms® rules
• Useful sources of information
Outcome
This interactive, half day course will explain the Incoterms® rules and their importance in international trade contracts. Delegates will explore each of the Incoterms ® 2020 rules and develop confidence in how to use them in order to avoid costly mistakes.
This course is suitable for staff within an organisation that have a responsibility for negotiating business in overseas markets and/or processing export orders. Sales, logistics purchasing and finance staff will all benefit from understanding the correct use of these terms.
