What is Incoterm?

Learn here what Incoterm are and when to use them

Incoterms are international import and export conditions. These terms define the competences and responsibilities of the parts involved in an international transaction.

Let's see how you can select Incoterms on ShippyPro 🔍

​ Summary:

1. When is it necessary to specify Incoterm?
2. What do DAP, DDP, EXW mean?

1. When is it necessary to specify Incoterm?

You'll be able to edit this field when you ship your orders from Label Creator > to Ship, either when you make a manual shipment or you ship orders from marketplaces. 

Incoterm field is not mandatory and if not edited, it will be DAP as default. You don't need to change it for national shipments.
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2. What do DAP, DDP, EXW mean?

DAP (Delivered At Place, DDU – Delivery Duty Unpaid before), means that the buyer will pay for all customs duties at import in his country and the vendor will pay for the shipping.
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​DDP (Delivered Duty Paid), means that the vendor pays both the shipping and all custom duties charged at export and import in the country of destination.
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​EXW (Ex Works), means that both the shipping cost and the custom duties will be in charge of a third party code of that Carrier. By selecting EXW it will appear an additional field where to include the client code to be charged of duties and shipping:

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