Incoterms with Turkish Suppliers: EXW, FCA, FOB, CIF, DAP and DDP Explained
Super Admin3 min read
Two quotes from Turkish suppliers can look very different simply because they use different Incoterms. These internationally recognised trade terms, published by the International Chamber of Commerce, define who arranges and pays for each part of the journey and when risk passes from seller to buyer. Choosing the right one avoids hidden costs and disputes.
The terms you will see most often
EXW – Ex Works
The supplier makes the goods available at its premises. You arrange and pay for everything else, including loading, export clearance in Turkey, freight and import. It gives the lowest quoted price but the most work and risk for you. In practice, many buyers ask the factory to load and clear for export anyway, which is closer to FCA.
FCA – Free Carrier
The supplier clears the goods for export and hands them to your carrier at an agreed place, such as their factory or your forwarder's warehouse. It is often a better choice than EXW for road and container shipments.
FOB – Free On Board
The supplier delivers the goods on board the vessel at a named Turkish port, for example FOB Mersin, with export clearance done. You pay ocean freight and insurance. FOB is used for sea freight and is popular with buyers who have their own forwarder.
CFR and CIF – Cost and Freight / Cost, Insurance and Freight
The supplier pays freight to your port, and under CIF also minimum insurance. However, risk passes to you once the goods are loaded in Turkey. Check the insurance cover and the destination charges, which you still pay.
DAP – Delivered at Place
The supplier delivers to a named place in your country, ready for unloading. You handle import clearance, duties and taxes.
DDP – Delivered Duty Paid
The supplier delivers to your door with import duties and taxes paid. It is convenient but harder for a foreign supplier to manage in many markets, and costs are built into the price.
How to choose
If you have a trusted forwarder, FCA or FOB gives you control over freight cost and schedule.
If you are new to importing, CIF or DAP can be simpler, but ask for a breakdown of costs.
For road freight from Turkey, FCA or DAP usually fit better than FOB or CIF, which are meant for sea transport.
Write it correctly
Always state the Incoterm, the named place and the version, for example "FCA Gebze factory, Incoterms 2020". Use the same term on the proforma, the contract and the commercial invoice.
Compare quotes on the same term
When suppliers quote different Incoterms, convert them to a single delivery point before comparing. TurkLink helps buyers request and compare quotations from Turkish suppliers on the same basis.
Cover photo: Container crane in Gdynia by Boatbuilder, CC BY-SA 3.0, via Wikimedia Commons.
