The new Resolution No. 16, which revokes CAMEX No. 21, will come into effect on August 3, 2020.

It establishes Incoterms and sets new guidelines for Brazilian exports and imports, allowing them to accept any sales conditions practiced in international trade, provided they are compatible with the legal framework.

Among the international commercial terms (Incoterms) defined by the International Chamber of Commerce (ICC), some codes stand out that should be adopted for the purpose of identifying the sales condition practiced:

FCA – Free Carrier

FREE ON CARRIER

Here, the seller fulfills their obligations and ends their responsibility when they deliver the goods, cleared for export, to the carrier or other person designated by the buyer, at the named location in the country of origin.

It stipulates that, in addition to being usable in any mode of transport, buyer and seller may use their own transport for portions of the journey.

FAS – Free Longside Ship

FREE BESIDE THE SHIP

The seller's obligations end when the goods are placed, cleared for export, alongside the ship designated by the buyer, on the quay or on vessels used for loading the goods, at the port of shipment named by the buyer, limited to water transport.

CIF – COST, INSURANCE AND FREIGHT

COST, INSURANCE AND SHIPPING

In addition to bearing the obligations and risks stipulated for the FOB term, the seller contracts and pays for freight, costs, and insurance related to the transportation of the goods to the agreed port of destination.

To learn more about Resolution No. 16 and to be able to carry out international trade operations without any obstacles, legal support is essential for importers to clarify any further questions.

Put Gian Lucca Jorri,Lawyer, graduated in Law in 2016 from the Catholic University of Santos. Area of Expertise: Customs Law and Tax Law, OAB (Brazilian Bar Association): 404.759.

News source: COMEX