Choosing the right Incoterm affects cost, risk transfer point, and who handles freight insurance and documentation.
FOB Jebel Ali (Free On Board)
Seller delivers goods on board vessel at Jebel Ali. Buyer arranges and pays freight and insurance. Best if you have established freight forwarders or buy large volumes and want to control shipping costs.
CIF (Cost, Insurance & Freight)
Seller covers freight and minimum insurance to destination port. Risk transfers when goods pass ship's rail at origin — but buyer gets simpler landed pricing. Ideal for first-time importers or buyers without freight contracts.
CFR vs CIF
CFR includes freight but not insurance — buyer must insure separately. Common for bulk clinker and gypsum where buyers have marine cargo policies.