Course Outline
Module 1 – Introduction & Context (30 min theory)
- Defining Incoterms and their critical importance in trade.
- Historical background and significant updates introduced in 2020.
- Structural overview: rules applicable to all transport modes versus those specific to maritime transport.
Module 2 – Understanding the 11 Rules (60 min theory + 30 min practice)
- EXW, FCA, CPT, CIP, DAP, DPU, DDP (applicable to any mode of transport).
- FAS, FOB, CFR, CIF (specific to sea and inland waterways).
- Practical Exercise: Align each rule with a realistic shipping scenario.
Module 3 – Responsibilities, Risk & Cost Allocation (30 min theory + 30 min practice)
- Identifying the precise transfer points for risk and responsibility.
- Determining who is responsible for arranging transport, insurance, and customs clearance.
- Practical Exercise: Utilize a transport chain diagram to map out cost and risk allocation.
Module 4 – Choosing the Right Incoterm (30 min theory + 30 min practice)
- Key considerations: transport mode, cost control, risk tolerance, and market conventions.
- Case Study: Teams select the optimal Incoterm for specific shipments and justify their choices.
Module 5 – Avoiding Mistakes & Managing Risks (20 min theory + 40 min practice)
- Common pitfalls (e.g., using FOB for containerized shipments).
- The critical importance of specifying exact delivery locations.
- Document Review Exercise: Identify and rectify Incoterm errors in sample contracts and shipping documents.
Module 6 – Negotiation Role-Play (45 min practice)
- Buyer and seller groups negotiate terms for a hypothetical trade deal.
- Focusing on cost efficiency, control, and risk management.
Wrap-Up & Q&A (15 min)
- Providing a quick-reference table for all 11 rules.
- Final checklist for effectively applying Incoterms in contracts.
Requirements
No formal prerequisites are necessary.
While basic familiarity with import/export, supply chain management, or logistics is advantageous, it is not mandatory.
Intended Audience
- Export/Import Managers
- Logistics and Supply Chain Specialists
- Freight Forwarders and Customs Brokers
- Procurement and Sales Teams engaged in cross-border transactions
- Legal and Contract Managers handling international sales agreements
Testimonials (2)
Practical part of the training was very good structured and useful
Valentina Dinkova - Dundee Precious
Course - Incoterms 2020
The positive energy of the trainer
