CPT — Carriage Paid To
Under CPT (Carriage Paid To), the seller pays for transportation to the agreed destination, but the risks transfer to the buyer as soon as the goods are handed over to the first carrier. This creates a key distinction between costs and risks: the seller pays for delivery but is not responsible for the goods in transit.
Who does what
| Transport | Any mode |
|---|---|
| Export clearance | Seller |
| Import clearance | Buyer |
| Main carriage paid by | Seller |
| Insurance | Not required |
| Risk passes to the buyer | When the goods are handed to the first carrier |
When to use it
For any mode of transport when the seller organises and pays for the carriage to the agreed destination. Typical for containers and multimodal shipments.
What to watch
Risk passes at handover to the first carrier, far from the destination, although the seller has paid for the carriage. The buyer should arrange insurance from that point.