Bee On Trade

FCA (Free Carrier)


Sign-up to our newsletter, get access to exclusive tips about freight forwarding weekly update!

Understanding FCA Incoterms® 2020

What is FCA (Free Carrier) Incoterm?

What does FCA (Free Carrier) Incoterm entail?

FCA requires the seller to clear products for export and deliver them to the buyer at specified locations.

Where Can FCA Be Applied?

In which transport modes can FCA be used?

FCA can be used for LCL (Less than Container Load), FCL, and air transportation.

Responsibilities in FCA Incoterms®

Who is responsible for loading costs and risks in FCA at the seller's premises?

The seller bears the expense and risk of loading at their premises.

What are the seller's responsibilities when delivering goods to a different location in FCA?

The seller must prepare the products for unloading, but not unload them at the destination.

Changes in Incoterms® 2020 for FCA

What change did Incoterms® 2020 introduce for FCA?

Incoterms® 2020 allowed carriers to issue a transport document with onboard notation, addressing issues related to payment via Letter of Credit.

Who can request an onboard Bill of Lading under the new FCA provision?

The buyer can direct the carrier to provide a Bill of Lading with an onboard notation at their expense and risk.

Agreements Between Buyer and Seller

What is essential before shipping when using FCA Incoterms?

The buyer and seller must agree on cost and risk allocation before shipping.

Benefits of FCA Incoterms

  • Simplicity: FCA offers clear guidelines for seller and buyer responsibilities.
  • Flexibility: It can be used in various transport modes.
  • Compliance: Addresses the issue of onboard Bill of Lading for Letter of Credit payments.


Understanding FCA Incoterms® 2020 is crucial for international trade agreements. It simplifies shipping processes and ensures clear responsibilities, benefiting both buyers and sellers.

More from Beeontrade

© Beeontrade Inc. 2023