Question

-What is the meaning of FOB?

-Using the internet, how does FOB and CFR differ?

Answer 1

FOB i.e, Free on Board is a term used in international trade .When sale is made on FOB basis then seller is responsible until loading of goods to vessel and after that buyer will be responsible.

FOB and CFR both terms are used in international trade .CFR i.e, Cost and freight means seller is responsible for paying all costs and freight till the goods reach at destination port and after that buyer will be responsible.

Hence both terms differ in relation to who is responsible for paying expenses like freight and till what point they are responsible