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International Trade vocabulary · Incoterms

CFR

Meaning in international trade, with examples

abbreviationCommon term

In international trade, CFR means: Cost and Freight: an Incoterms rule in which the seller pays the sea freight to the destination port, but the risk passes to the buyer when the goods are on board at the port of loading.

In Turkish: masraflar ve navlun ödenmiş, CFR teslim, C&F

How it is used

Like CIF but without insurance, so the buyer usually insures the cargo. Written with the destination port: 'CFR Alexandria'. The old forms C&F and CNF still appear in emails but are not official Incoterms abbreviations.

Example sentences

  1. We quote CFR Jebel Ali; the buyer will arrange insurance locally.

  2. Under CFR, the risk passed to the buyer when the containers were loaded in Mersin.

Common collocations

  • CFR price
  • CFR destination port
  • quote CFR
  • CFR terms
  • IncotermsA set of standard three-letter trade terms published by the International Chamber of Commerce that show which costs, risks and tasks belong to the seller and which to the buyer.
  • CIFCost, Insurance and Freight: an Incoterms rule in which the seller pays sea freight and minimum insurance to the destination port, but the risk passes to the buyer once the goods are on board at the port of loading.
  • FOBFree On Board: an Incoterms rule in which the seller clears the goods for export and delivers them on board the ship at the named port of shipment, where the risk passes to the buyer.
  • freightGoods carried by ship, plane, truck or train; also the charge paid for carrying them.

More terms: Incoterms

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