FAS

FAS delivery terms

FAS is a basic international trade term Incoterms, which regulates the conditions and areas of responsibility for maritime cargo transportation, and means that the seller (sender) is obliged to deliver the goods to the port of shipment and place them “alongside the ship”, that is, at the berth specified in the contract. As soon as the cargo is “standing alongside the ship” and ready for loading onto sea transport, the seller’s (sender) obligations to deliver are considered fulfilled. 

Such terms are convenient, clear and understandable for sea deliveries, especially for bulk, heavy and oversized cargo. They provide a clear division of responsibilities between the seller and the buyer and are often used when it is important to deliver the goods to the vessel, while requiring the buyer to actively participate: organizing freight, loading, further travel and import clearance.

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    What is required from the seller on the sender's side?

    When delivering under FAS, the seller assumes the following obligations:

    1. cargo preparation: packaging, labeling, set of documents required for export;
    2. customs clearance for export if necessary;
    3. delivery of cargo to the port of departure (namely to the berth next to the vessel specified by the buyer);
    4. unloading and placing the goods along the side, as well as readiness for loading onto the vessel.

    As soon as the cargo is delivered to the port and placed “alongside the ship” – from that moment on, it is considered that the seller has fulfilled his part of the delivery obligations, therefore the risks are transferred to the buyer (recipient).

    What are the obligations of the buyer (recipient) under FAS?

    Once the goods have been delivered by the seller and placed “alongside the ship”, the buyer assumes:

    1. freight, planning and payment for sea transportation;
    2. organization and costs of loading goods onto the vessel;
    3. completing import formalities: obtaining licenses, permits, paying taxes, customs duties, customs clearance for import;
    4. transportation of cargo from the port of destination to the final warehouse (recipient), including unloading;
    5. cargo insurance (unlike some other terms, FAS does not provide for mandatory insurance by the seller - insurance can be arranged by the buyer at will).

    Mitridat company services for delivery of goods under FAS

    Free Alongside Ship freight transportation requires clear coordination of actions of both parties – seller and buyer. Mitridat accompanies clients at all stages, ensures correct fulfillment of obligations stipulated by Incoterms: we help not only the sender, but also the recipient, to make the delivery process transparent, predictable and safe.

    For the seller (exporter) we offer:

    1. delivery of cargo to the port of departure: organization of transportation from the client's warehouse to the seaport (we select the optimal transport, control the terms, ensure the safety of the goods and compliance with all technical requirements);
    2. checking packaging and labeling, preparing a set of documents: our specialists will check the condition of the cargo, form an export package of documents, including instructions for the carrier;
    3. export customs clearance: preparation of an export declaration, support at customs and interaction with regulatory authorities;
    4. delivery to the berth, placement “along the side of the ship” – fulfillment of a key part of the FAS conditions;
    5. coordination with the buyer and port services: we contact the buyer's agents, transfer data on the readiness of the cargo, coordinate the time, and ensure the absence of downtime and failures.

    Although with Free Alongside Ship the buyer assumes responsibility after placing the cargo “alongside the ship”, we can also help with this part of logistics – reducing risks, optimizing costs and ensuring stable control of the situation, namely:

    1. control of cargo readiness for loading: we ensure that the goods are prepared correctly, placed “on board” on time, and the seller fulfills his obligations in full - this protects the buyer from unexpected delays and costs;
    2. organization and support of loading onto the vessel: interaction with stevedores, monitoring compliance with loading technologies, checking the condition of the cargo before loading;
    3. freight and sea transportation consultations: we help the buyer choose a shipping line or broker, coordinate the schedule, and choose the optimal route and conditions of sea transportation;
    4. insurance arrangement: although insurance under FAS is not an obligation of the seller, we can help the buyer arrange insurance that minimizes risks on the maritime section of the route;
    5. support with import and customs clearance in the country of destination: passing import clearance, obtaining permits, choosing the optimal tariff and minimizing delays at the point of arrival;
    6. delivery from the port to the recipient's warehouse: if necessary, we will organize further logistics (road, rail, multimodal), delivery "to the door" or to a temporary storage warehouse.