Full explanation
Key terms for Ukrainian agri-exports: (1) FOB (Free On Board) — seller delivers goods to the ship's side at the loading port (Odesa, Chornomorsk, Pivdenniy, Izmail); risk and costs thereafter fall to the buyer. Most common 2025–2026 — 60–70% of grain contracts; (2) CIF (Cost, Insurance, Freight) — seller covers freight and insurance to destination port. Used by buyers in Egypt, Turkey, Italy; (3) CPT (Carriage Paid To) — for road or rail; seller pays transport to the named place; (4) DAP (Delivered at Place) — seller delivers to a specified place; (5) FCA (Free Carrier) — handover to carrier at an agreed location. Incoterms do not govern title transfer — only risk and cost allocation. For EU exports after the Black Sea Corridor reopened (8 August 2023), war-risk insurance dropped from 5% in 2023 to 0.5–0.8% of CIF value as of January 2026.