CIF Incoterms Explained | Cost, Insurance & Freight (CIF) in International Trade with Example
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Cost, insurance, and freight (CIF) is an international shipping agreement, which represents the charges paid by a seller to cover the costs, insurance, and freight of a buyer's order while the cargo is in transit. Cost, insurance, and freight only applies to goods transported via a waterway, sea, or ocean.#ghionbesi
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How to Calculate CIF Export Price for Pomegranate (Per Box Pricing) If you’re exporting pomegranates, it’s important to calculate your price correctly. Let’s understand it with a live example: 1. Purchase Price of Box You are buying one box of pomegranates at: ₹320 per box 2. Add Profit Margin (10%) 10% of ₹320 = ₹32 Price after adding profit = ₹320 ₹32 = ₹352 per box 3. Add Logistic Charges (Up to CIF Price) Now add all logistics costs to reach the buyer’s port: • Local Transport to Port: ₹10 •
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