c.i.f
Cost, insurance and freight
(….named port of destination)
NOTE:

This term is basically the same as c.fr., but with the addition that the seller has to procure marine insurance against the risk of loss or damage to the goods during carriage. The seller contracts for insurance and pays the insurance premium. He is, however, only required to obtain insurance on minimum coverage. He is also required to clear the goods for export.

	Seller	Buyer
Responsibilities	Nominate ship and contract for carriage Deliver goods on board Notify buyer that goods have been delivered on board Render buyer, at latter's request, risk and expense every assistance in obtaining documents issued in SA which buyer may require for importation of the goods Clear goods through customs for exportation Supply buyer with proof of delivery Contract for marine insurance	Accept delivery of goods when c/l and b/l are tendered to him
Costs	Packaging, labelling and marking Checking operations (eg. checking quality, measuring, weighing, etc.) Transport to vessel Forwarding agent's charges Warehousing/demurrage at port Warfage and shipping charges Freight chatges, loading costs to the extent that they are included in freight* Any other costs incurred in placing goods on board Costs of customs formalities for exportation Duties and taxes payable upon exportation Pay insurance premium	Price of goods Unloading costs to the extent that they are not included in freight (ie. if freight rate is not on full liner term basis) Costs of obtaining c/o, consular documents and fees, and any other documents obtained by seller on his behalf Customs duties and taxes levied on importation of the goods Additional costs incurred should he fail to choose port of destination in time Duties, taxes and costs of carrying out customs formalities payable upon importation Pre-shipment inspection
Risks	All risks until goods pass ship's rail at port of dispatch NOTE: Risk passes from seller to buyer when goods pass ship's rail	All risks from time goods pass ship's rail at port of dispatch

* Note:

Although only LIFO (liner in free out) freight is legally required in this case, it is common practice to use FLT (full liner terms). If LIFO is used the exporter should inform his buyer because the latter will have to pay unloading costs.