Understanding EXW Shipping: What Exporters and Importers Need to Know
EXW (Ex Works) is one of the INCOTERMS through which the seller makes the goods available at the seller’s place and every cost and risk or costs associated with with the transportation of the goods to the buyer’s place solely rests with the buyer. This term greatly restricts the seller’s liability and includes proper packaging and delivery of the goods and relevant documents with loading and transportation, customs formalities, and insurance to be provided by the buyer. EXW provides convenience and is often cheaper for the seller but put a lot of added duties and possibly extra expenses on the buyers. Strong communication, careful planning, and choosing right logistics providers are crucial for efficient EXW deals because they positively affect the supply chain of exporters and importers.