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Incoterms for Charcoal Imports: Ex Works vs FOB vs CFR vs CIF Explained

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When you request a charcoal quotation from Egypt, the price always comes with a term such as EXW, CFR or CIF. That term decides who pays freight and insurance, and where responsibility passes from seller to buyer. Without understanding it, you may compare two quotes that are not equal.

EXWat the factory
CFRdelivered to port
CIFdelivered + insurance
In short
  • EXW means the price covers the goods at the factory only.
  • FOB means the goods are loaded on the vessel at the port of loading.
  • CFR means goods plus freight to the port of destination.
  • CIF is CFR plus insurance.
  • In every case, clearance and duties at destination are the buyer’s.

The four terms at a glance

TermMeaningWho pays sea freight?
EXW Ex WorksThe buyer collects the goods at the factory and arranges all transport and shipping.Buyer
FOB Free On BoardThe seller delivers the goods loaded on the vessel at the Egyptian port of loading.Buyer
CFR Cost and FreightThe seller pays freight to the port of destination named by the buyer.Seller
CIF Cost, Insurance and FreightLike CFR, plus insurance of the cargo in transit.Seller
Charcoal container loading at the factory
Under EXW the buyer collects at the factory

How to compare two quotes fairly

Do not compare an Ex Works price directly with a delivered price. The simple formula is:

Ex Works price per tonne × quantity + transport to port and loading + sea freight (+ insurance for CIF) = landed cost at the port

That is why our proforma invoices sometimes show the goods at Ex Works price on one line and freight per container on a separate line, so the importer sees the cost clearly. Also watch the container load: 18 tonnes and 20 tonnes give different costs per delivered tonne.

Which term suits you?

  • EXW or FOB: if you have a freight forwarder with good rates and want to control shipping.
  • CFR: if you want a clear price to your port and arrange insurance yourself.
  • CIF: if you want freight and insurance from the seller, sometimes required by banks.

We quote on the term you choose. Details in our ordering and shipping guide, and what drives the price in our charcoal price article.

How to request an accurate quote

  1. Define product and quantityAnd the packing type.
  2. Choose the delivery termEXW, FOB, CFR or CIF.
  3. Name the destination portIf the price is delivered.
  4. Compare on the same termSo the comparison is fair.

Need a quotation on a specific term?

Tell us the product, quantity, term and port, and we will send a proforma invoice.

FAQ

Does CIF include customs in my country?

No. CIF covers goods, freight and insurance to the port of destination; clearance and duties are the buyer’s.

Why is the Ex Works price lower?

Because it excludes transport, freight and insurance.

Is the freight price fixed?

No, it varies by port, timing and number of containers, and is confirmed at the time of order.

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