FOB

The term means that under this condition the seller deliversproducton board the vessel nominated by the buyer at the named port of shipment, or ensures the provision of the goods delivered in this way.Riskthe loss or damage of the goods passes when the goods are on board the ship, and from that moment the buyer bears all costs.

The seller is obliged either to deliver the goods on board the vessel, or to ensure that the goods delivered in this way are provided for shipment. The indication of the obligation to 'provide' takes into account the numerous sales along the chain, which are often used in commodity trading.

FOBrequires the seller to perform customs formalities for export, if applicable.