GLOSSARY

Free Alongside Ship (FAS)

A term used in international trade contracts that obliges the seller to deliver goods to a specific port alongside a vessel designated by the buyer.

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What is Free Alongside Ship (FAS)?

Free Alongside Ship (FAS) is an Incoterm, which is an international trade term that outlines the obligations of the seller and the buyer in an international sale of goods. Under FAS, the seller's responsibility is to deliver the goods alongside the ship at the named port of shipment. The buyer is responsible for all costs and risks related with loading the goods onto the ship and transporting them to their final destination.

Some key factors of FAS state that the:

Seller has to clear the goods for export.
Seller must provide the buyer with the necessary documentation, such as the commercial invoice and the bill of lading.
Buyer is responsible for the costs and risks of loading the goods onto the ship and transporting them to their final destination.

FAS is a good choice for buyers who want to have control over the transportation of the goods. It’s also a good choice for sellers who want to minimize their costs and risks.

11 Types of Incoterms: International Trade Terms Explained - USA Customs Clearance

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