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How to calculate this into your overall costs involving FOB?

August 29th, 2011 Leave a comment Go to comments

FOB as explained before covers the cost of your product either until your shipment is loaded or until it has arrived at your destination port.

If it is FOB destination port, then the purchaser has to pay for:

  1. Shipping Fee.
  2. Customs fee at the destination port.
  3. Duty on the product if it requires any (Your will have to research this or shipping agent should be able to classify the product.
  4. Once released, delivery to the final destination as listed on the shipping documents.

The purchaser can do this whole procedure themselves but it is highly advisable and both economically and time efficient to enact a shipping agent or freight forwarder to take care of this for them.

If it is FOB port of loading, then the purchaser has to pay for points 2-4 as above.




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