When you buy instruments from abroad, the price depends on who pays for shipping and insurance, and when you pay. Incoterms answer the first question; payment terms answer the second. Understanding both helps you compare quotations fairly.
Common Incoterms
Incoterms are international rules that say where the seller’s responsibility ends and the buyer’s begins.
| Incoterm | Seller pays for | Buyer pays for |
|---|---|---|
| EXW (Ex Works) | Goods ready at the factory | All transport, export clearance, freight, import |
| FCA (Free Carrier) | Goods handed to your carrier, export cleared | Main freight and import |
| FOB (Free On Board) | Delivery onto the ship, export cleared | Sea freight, insurance and import |
| CIF (Cost, Insurance and Freight) | Sea freight and insurance to your port | Unloading, import duties and local delivery |
| CPT / CIP | Freight (and insurance for CIP) to an agreed place, often used for air | Import and local delivery |
| DAP (Delivered At Place) | Transport to your address | Import duties and taxes |
FOB and CIF are only for sea freight. For air or courier shipments, FCA, CPT, CIP or DAP are used.
Common payment terms
- Advance payment: You pay before production or shipping. Common for first orders and samples.
- Part advance: For example 50% with the order and 50% before shipping.
- Against documents: You pay when the shipping documents are ready.
- Letter of credit (LC): Your bank guarantees payment when the seller proves shipment. Safer for large orders, but costs bank fees.
- Open account: You pay 30 or 60 days after delivery. Usually only for long-standing customers.
Tips
- Compare quotes on the same Incoterm.
- For your first order, a part advance is a fair balance of risk.
- Ask whether courier delivery for small orders is included or extra.
Discuss terms with Tata Surgical
We quote in the Incoterm that suits you. Ask about our terms at Hall 10, Stand C32.
Looking for instruments like these?
Browse our catalogue or send us your drawing. We reply with prices, lead time and shipping terms.
