At the logistics department our objective is to provide an effective and specialized service from the moment we receive a purchase order until the merchandise is delivered at its final destination. Our main distribution center is located in Miami, Florida (USA) and contains cutting edge technology. This allows us to increase our load processing capacity. We also have secondary warehouses in Chile, Colombia, Peru, Mexico and plan to open new locations in Latin America.

We perform deliveries worldwide and generally manage them under the following terms: EXW, FCA, FOB, CIF, DAP and CFR.

Thanks to our strict selection process and continuous evaluation of logistics providers, it is safe to say that we work with the best in the industry. Our fantastic allies manage our cargo in the most exemplary way and always comply with the terms and conditions that we agree upon. Additionally, we provide a load securement service to our clients should they require it. We are focused on lending a flexible logistics service that adapts to the needs and capabilities of each of our clients. Our services include the following: Drop Shipment, Kits and Bundles, inverse logistics and filling in transport documents, among others.

 

What does Incoterm mean?

Incoterm is an abbreviation that stands for International Commerce Teams, referring to definitions or names that facilitate the coordination of freight contracts between buyers and sellers. This means that by choosing an Incoterm in international trade, both parties can clearly understand who is in charge of what, in the event that any issues or errors emerge, and who should correct them.

There are two types of incoterms: on one hand, some incoterms may be applied to any mode of transportation (land, maritime, air) whilst other incoterms can only be applied to maritime transportation.

 

Incoterms applied to any mode of transportation:

 

EXW (Ex-Works):

The term Exworks implies that, depending on the territory of the manufacturer or seller, responsibility over this merchandise, as well as any other processes required, falls upon the purchaser and is in no case attributed to the seller or manufacturer.

FCA (Free Carrier):

In this specific case, the seller must arrange transportation for the merchandise to the agreed location under optimal exportation conditions, managing and covering customs dispatch costs at the origin.

CPT (Carriage Paid To):

The term CPT refers to the seller being in charge of the merchandise until it reaches the warehouse of the carrier but he/she must also cover transportation costs up until the destination point, where the purchaser is located.

CIP (Carriage and Insurance Paid To):

In this case, the seller is responsible for the merchandise until it reaches the transportation company, the seller is also responsible for transportation costs until it reaches the country of destination.

DAP (Delivered at Place)

The DAP is a DAT in which, instead of a terminal or warehouse being chosen as a delivery point, any other location in the country can be specified, as previously agreed upon with the purchaser.

 

Incoterms for Maritime transport:

 

FAS (“Free Alongside Ship”)

This incoterm refers to the seller being in charge of leaving the merchandise on the landing stage next to the ship.

FOB (“Free on Board”)

FOB means it is free until it is on board the vessel, the title is self-explanatory. Whilst in the case of an FAS, the seller would previously leave the shipment next to the vessel, in the case of an FOB the seller places it directly on the ship. 

CFR (“Cost and Freight”)

CFR means exactly as stated, the seller is in charge of the merchandise up until the destination port chosen by the purchaser.

CIF (“Cost Insurance and Freight”)

CIF may be defined as a CFR in which the seller is in charge of covering freight insurance. The transfer of risk continues to take place on the ship, at which point the purchaser would adopt all risk.

 

If you require additional information about our logistics process or have any queries, please do not hesitate to contact us at the following email address: logistics@distritech.com

 

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