incoterm 2010

incorterm 2010 The eighth revision of the Incoterms, the International Chamber of Commerce (ICC) shipment and delivery terms, looks set to be released before the end of the year.

The current version - Incoterms 2000, was revised at the start of this century and although released almost 10 years ago, many shippers, consignees, carriers, forwarders and other intermediaries are still not 100 % conversant with the existing terms.

Incoterms are not law, and follow trade practice rather than attempting to establish it, the ICC can revise them whenever it determines change is required. This was decided in November 2007, and the revision process began shortly thereafter. It has accelerated to address a huge number of suggestions from the 130-plus ICC affiliates worldwide.

Incoterms are a released by the ICC's Commercial Law and Transport Commission, which is responsible for drafting successive proposals until consensus is achieved. Other ICC commissions such as Transportation, Banking, and Customs are also invited to comment. Each comment is individually reviewed on its own merit, as well as its relation to other comments and to Incoterms 2000. Understandably, this process is time-consuming, with significant communication in the form of successive draft proposals until consensus can be achieved.
Incoterms 2010 aims to:

-- Be more user-friendly.
-- Provide clearer differentiation between those terms designed for use for all transport modes and those that can be correctly used only for vessel transport.
-- Reduce the current 13 Incoterms which can be found in Incoterms 2000.
-- Encourage the use of Incoterms in domestic transactions
-- Address issues that have arisen since 2000, such as cargo security and the new Institute Marine Cargo Clauses will be addressed.

Given the short window between anticipated release and effective dates, today's tight economy and the real need to clearly define roles and responsibilities in both domestic and international transport, The Logistics Society encourages all Supply Chain stakeholders to familiarise themselves through training or other means what Incoterms 2010 will mean to them.

To assist professionals, we will be providing updates on this forum We also encourage you to provide your feedback, input, guidance and even suggested activities to help build industry acceptance and overall improvement.