If you're new to importing minerals, the three letters attached to every quote — FOB, CFR, CIF — can be more confusing than the product specs themselves. They're not just paperwork. They decide who pays for what, and at which exact point responsibility for your cargo shifts from seller to buyer. Here's what each one means in practice.
Under FOB, the seller's responsibility ends once the goods are loaded onto the vessel at the port of origin — in our case, Karachi Sea Port. From that point on, the buyer arranges and pays for ocean freight and insurance, and bears the risk for the cargo during transit.
CFR shifts one more cost onto the seller: ocean freight to your named destination port. The seller pays to get the cargo to your port, but risk still transfers to the buyer once the goods are loaded in Karachi. Insurance is still the buyer's responsibility under CFR.
CIF adds insurance on top of CFR. The seller pays for freight and arranges marine insurance covering the cargo to your destination port. Risk still legally transfers once goods are loaded on the vessel.
| Term | Who Pays Freight | Who Pays Insurance | Risk Transfers |
|---|---|---|---|
| FOB | Buyer | Buyer | At loading, Karachi |
| CFR | Seller | Buyer | At loading, Karachi |
| CIF | Seller | Seller | At loading, Karachi |
We quote FOB Karachi Sea Port as our base rate for both Talc and Rock Phosphate. CFR and CIF are available on request — freight and insurance are calculated at the time of your inquiry based on your destination port.
Not necessarily overall — it bundles freight and insurance into one price, but you're paying for the same services either way.
FOB, CFR, and CIF are our standard quoted terms. Mention any other requirement when requesting a quote and we'll advise what's possible.
Export customs clearance in Pakistan is handled by the seller; import customs clearance at your destination port is the buyer's responsibility in all three terms.