Course Outline
Module 1 – Introduction & Context (30 min theory)
- Definition of Incoterms and their critical importance.
- Historical background and significant updates introduced in 2020.
- Structure: Rules applicable to all transport modes versus those restricted 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).
- FAS, FOB, CFR, CIF (specifically for sea/inland waterways).
- Practical Exercise: Align each rule with a realistic shipping scenario.
Module 3 – Responsibilities, Risk & Cost Allocation (30 min theory + 30 min practice)
- Critical points where risk and responsibility transfer.
- Determining who is responsible for arranging transport, insurance, and customs clearance.
- Practical Exercise: Utilize a transport chain diagram to map out cost and risk distribution.
Module 4 – Selecting the Appropriate Incoterm (30 min theory + 30 min practice)
- Key considerations: transport mode, cost management, risk appetite, and market standards.
- Case Study: Groups evaluate given shipments to select the best Incoterm and justify their choice.
Module 5 – Preventing Errors & Managing Risks (20 min theory + 40 min practice)
- Frequent pitfalls (e.g., using FOB for containerized cargo).
- The necessity of defining precise delivery locations.
- Document Review Exercise: Identify and rectify Incoterm mistakes in sample contracts and shipping documents.
Module 6 – Negotiation Role-Play (45 min practice)
- Buyer and seller groups negotiate terms for a trade agreement.
- Emphasis on cost implications, control levels, and risk distribution.
Wrap-Up & Q&A (15 min)
- Quick-reference table summarizing all 11 rules.
- Final checklist for incorporating Incoterms into contracts.
Requirements
No formal prerequisites are required.
While helpful, basic familiarity with import/export operations, supply chain management, or logistics is not mandatory.
Intended Audience
- Export/Import Managers
- Logistics and Supply Chain Professionals
- 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
