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Home > Jargon Explained > Incoterms > CFR – Cost and Freight

  • A named port of destination must be specified
  • Seller hands over the risk for the consignment when it passes over the ship’s rail at the port of shipment
  • Seller must pay freight and other charges to named port of destination
  • All additional costs and risks are the responsibility of the Buyer

Under CFR the main freight charges are paid by the seller

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