However, please note the incoterms does not define when titles of goods is transferred and does not address the price, currency or credit terms. This needs to be agreed separately in the sales contract.
Do your Market research
Research your export market by visiting and showcasing your product in local exhibitions and trade fairs. Establish the demand for your product, valuate and size up your competitors, check prices, legislative requirements, import taxes etc. Make sure your product is compliant with the local standards and regulations.
Talk to your Chamber of Commerce and UKTI, they will give you valuable advice and support. Find a local agent/partner to work with who can support the distribution and after sale support like product maintenance etc. if appropriate.
Formulate an export strategy, allocate resources and set goals for the new market. Use Incoterms to avoid confusion
Agree Incoterms 2010 with your customers
For a successful partnership with an international buyer you need to make sure responsibilities are clearly understood, and then written down in a language everyone agrees to. Using Incoterms in a well-written contract will help you do this.
Incoterms, or International Commercial Terms, is an internationally accepted system of trading terms for the delivery of goods. In setting out contracts you’ll need to include specific clauses on shipping of the goods.
To avoid confusion, internationally agreed incoterms should be used to spell out exactly what delivery terms are being agreed, such as:
- where the goods will be delivered
- who arranges transport
- who is responsible for insuring the goods, and who pays for insurance
- who handles customs procedures, and who pays any duties and taxes
Read more on international trade contracts and incoterms on GOV.UK.