FOB vs CIF: Coffee Export Shipping Terms Explained for Buyers

FOB vs CIF: Coffee Export Shipping Terms Explained for Buyers

FOB and CIF are the two Incoterms you'll see most often on a green coffee export quote, and misunderstanding which one you're being quoted is a common source of budget surprises for first-time importers.

FOB (Free on Board)

Under FOB terms, the exporter's responsibility (and the quoted price) ends once the goods are loaded onto the shipping vessel at the origin port — typically Guangzhou or Shenzhen for exports from southern China. From that point, the buyer arranges and pays for ocean freight, marine insurance, and destination-side customs and handling.

CIF (Cost, Insurance and Freight)

Under CIF terms, the exporter's quoted price includes ocean freight and basic marine insurance through to your named destination port. This simplifies budgeting, particularly for buyers without an existing freight forwarder relationship, though it's worth comparing the all-in CIF price against an FOB quote plus your own freight rate — CIF isn't always cheaper.

Which Should a First-Time Importer Choose?

If you don't yet have a customs broker or freight forwarder on the import side, CIF reduces the number of moving parts in your first shipment. Once you're importing regularly and have your own logistics relationships, FOB often gives more control and can be more cost-effective at volume.

Questions to Ask Your Supplier

Confirm which term a quote uses, the exact origin or destination port, estimated transit time, and what documentation (bill of lading, certificate of origin, phytosanitary certificate) is included.

Our export team quotes both FOB and CIF on request — get a shipping quote for your destination port.