FCA stands for “Free Carrier.” It’s an international trade term that outlines the responsibilities of the seller and the buyer in an international transaction.
FCA specifies an agreement where the seller delivers the goods to a named place, usually the seller’s premises or a designated location, and is responsible for clearing the goods for export declaration.
Once the goods are delivered to the carrier nominated by the buyer at the named place, the risk transfers from the seller to the buyer.
FCA is often used when goods are transported by any mode of transport, including road, rail, air, or sea. Sellers must ensure proper product classification and customs clearance before handover.
FCA provides clarity and delineates the obligations of both parties, helping to facilitate smooth and efficient international trade transactions. Businesses can use a landed cost calculator to estimate total costs once risk transfers to the buyer.