FAS – Free Alongside Ship … (Port of Shipment)
In FAS the seller clears the goods for export and delivers them alongiside side the vessel at port of origin. This means that the seller is responsible for all cost and risk to the goods up to point of delivery. This terms applies only for ocean or inland waterway ports.
It is recommended to use this term with the precise location a the port, specially in large ports with multiple locations. FAS term is frequently used in the term of sale of bulk commodities like grains or oil. In case the cargo is containerized, it is common to deliver the goods at carrier container yard or terminal (FCA term will fit best in this case).
Seller must deliver goods next to the vessel with export customs clearance paperwork completed. FAS is commonly used for out of gauge (OOG) cargo, which is cargo that cannot fit into internal container dimensions (i.e boats, tractors). FAS can only be used for ocean cargo and loading cost into vessel must be under sellers account.
Because of restricted times available on wharf, time and location are extremely important when negotiating under FAS. This term is also common when buying liquids and ships must deploy hoses for transfer goods (i.e. chemicals).
Buying a boat with pick up on 10th March before noon:
FAS - Pier 10 Port of Miami Florida
Buying a machine to corrugate boxes in different sets and parts, non-containerised:
FAS - Bremen Pier 2
Seller and Buyer obligations
|A. THE SELLER’S OBLIGATIONS
||B. THE BUYER’S OBLIGATIONS
|1. Provision of goods The seller must deliver the goods, provide commercial invoice or an equivalent electronic document, provide evidence of conformity or proof of delivery
||1. Payment The buyer must pay the price of goods as agreed in the contract of sale
|2. Licences, authorisations and formalities The seller must provide export licenses or local authorizations for exporting goods
||2. Licences, authorisations and formalities The buyer must get any export license and import permit for the export of goods
|3. Contracts of carriage and insurance Contract of carriage without obligation Contract of insurance without obligation
||3. Contracts of carriage and insurance Contract of carriage without obligation Contract of insurance without obligation
|4. Delivery The seller must place the goods alongside the ship at named port of loading by the buyer within date and time agreed.
||4. Taking delivery The buyer must take delivery of the goods when they have been delivered
|5. Transfer of risks The seller must has to bear all risks of loss of or damage to the goods until such time as they have been delivered alongside the ship
||5. Transfer of risks The buyer must bear all risks of loss of or damage to the goods from the time they have been delivered in accordance. If the vessel is delayed or doesn’t show up as planned, the buyer must afford extra expenses
|6. CostsThe seller must pay: All cost to deliver the goods alongside the ship including at origin, customs formalities, duties and taxes and other export charges
||6. Costs The buyer must pay all costs relating to the goods from the time they have been delivered which include loading and insurance, additional cost has been incurred due to vessel delay or no-show, main carriage, import customs, duties and taxes for import until final destination
|7. Notice to the buyer The seller must give notice that goods have been delivered alongside ship or the carrier did not took possession of goods as agreed
||7. Notice to the seller The buyer must notify the seller vessel name, loading port and delivery time
|8. Proof of delivery, transport document or equivalent electronic message The seller must provide assistance to the buyer on obtaining the transportation document or proof of receipt
||8. Proof of delivery, transport document or equivalent electronic message The buyer must receive proof of delivery by the seller
|9. Checking – packaging – marking The seller must pay cost of checking operations, quality control, weighing and counting. appropriated packaging or special packaging upon buyers request and packaging marking
||9. Inspection of goods Unless is mandatory for local authorities, pay for customs inspection at port of loading
|10. Other The seller must provide assistance to secure information and documentation for export
||10. Other The buyer must pay for origin documentation to the seller and provide the seller any documentation required for export