FOBvärde

FOBvärde, or Free On Board value, is a term used in international trade to designate the value of goods under Free On Board Incoterms. It represents the price of the goods plus the seller’s costs to bring the goods to the port of shipment and to load them onto the vessel, but excludes freight and insurance costs paid after shipment.

Under FOB terms, the point at which risk and responsibility pass from seller to buyer is when the goods pass the ship’s rail at the port of shipment. From that moment, the buyer bears all costs and risks associated with the maritime transport, insurance, unloading, and import formalities. The seller’s obligation ends when the goods are loaded on board, and the buyer assumes responsibility thereafter.

Calculation of the FOB value typically includes the item price plus pre-shipment costs such as packaging, transport to the port, port handling, and any required export clearance or duties paid by the seller. It excludes the costs of carriage, insurance, and post-shipment activities, such as shipping to the destination country or import duties.

FOB is most appropriate for sea or inland waterway transport. It is not suitable for air or multi‑modal shipments unless the contract explicitly defines a port of shipment and loading on a vessel. In practice, FOB value is used for pricing, invoicing, and customs declarations, and it is often contrasted with CFR or CIF values, which include freight and, in CIF’s case, insurance.