What Is CNF Shipping | Important Period To Note-Xiongda

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CNF, abbreviation of cost and freight, CNF Shipping means that the seller must bear the cost and freight required for the transportation of goods to the agreed port of destination.

CNF=C&F is Cost and Freight cost and freight; and CIF compared to CNF lacks the I, that is, Insurance ; CIF =Cost, Insurance & Freight.

Risk Classification of CNF Shipping

According to the Convention on Contracts for the International Sale of Goods (CISG), the parties to a contract shall divide the risks involved in the transaction. The CISG divides risks into two types according to whether they are insurable or not, i.e. insurable risks and non-insurable risks.

 

CNF Shipping

 

Points to Note of CNF Shipping

CNF (C&F) terminology is a more favorable condition for the seller, which stipulates that the seller can transport the goods to the designated destination as long as the seller fulfills the obligations stipulated in the contract without the need to apply for import licenses and import customs clearance and other formalities.

In the world there are some countries on the CNF Shipping is not fully accepted, they think:

  1. If the seller does not handle the import license, or can not prove that the goods have been approved for import, the buyer may be free to ship the goods without restriction;
  2. In some countries and regions, even if the seller did not handle the import license or did not prove that the goods have been approved for import, the buyer can also refuse to accept the goods delivered by the seller.

Therefore, in the export trade, if the export of “CNF” conditions, and the exporter is unable to obtain the import requirements of the “import license”, it should be carefully selected “CNF The term “CNF” should be used with caution.

 

Sea Waybill

 

If the exporter can provide effective documentation, and the buyer also agreed to accept the buyer’s delivery of goods for the “CNF” terminology under the goods, can also choose the term.

It is worth noting that: CNF Shipping terminology has a wide range of applications. For example, the term is often used in international trade.

In this case, the seller must specify the place and date of delivery in the contract. When there is no special agreement between the parties, the seller must ship the goods to the place of delivery specified in the contract. For some countries or regions, the seller must also handle the importation of goods for export.

 

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