In http://www.ibuy-sell.com , the price is a core part of the terminology. What kind of prices because of a decision in terms of the powers and responsibilities of buyers and sellers, and the division of profits, so exporters to be on a quote, in addition to best meet customer requirements, to fully understand their various price terms and the real content of selected carefully, and then have the choice of terminology price quotations.
FOB prices were to choose, in the freight and insurance volatility in the market conditions are favorable to them. But there are also many passive, for example: As importers delayed Baichuan, or because of the circumstances leading to shipment delays, Name Change, it will enable exporters to increase warehousing expenses, or is late receipt of a loan loss of interest. Exporters control on the export of goods, in the FOB price conditions, because importers Baichuan contact with the carrier, once the shipment of goods, exporters even want to transit or destination of the goods sold, or take other remedial measures will be some twists and turns affair.
CIF price in the export under the conditions of cargo convergence problems can be better solved, makes exporters have more flexibility and mobility. Under normal circumstances, as long as the exporters guarantee that the delivery of goods in line with the contract's provisions, as long as the documents submitted complete and correct, the importer must pay. After the cargo ship, even if the payments are made in the importers suffered damage or loss of goods, the importer could not pay the money and because Goods damage. That is to say, to the CIF price contracts for the export turnover is a specific type of "documentation sale" contracts. A wise exporters, not only to be able to grasp their own quality of the goods sold, quantity, but should grasp the cargo arrives at the destination and collect money in the process every step. The cargo loading, transport, the risk of controlled goods should be made certain.
Now generally not very high profits from exports circumstances, the entire process of the trade for each of the sessions prudent than any time in the past more important. Domestic export enterprises exported some good profits, their practice is that the external Price, first reported FOB price so that the customers of the enterprise commodity prices have a comparison, to the CIF price, and persisted in the domestic market arrangements for the transportation and insurance. They said very frankly, to do so, not only can give buyers more choices, and sometimes transported in premiums also can make that difference.
