For most furniture importers the useful Incoterms are FCA, FOB, CIF, CIP and DAP, and the right one depends less on price than on who you want to control the container booking. Furniture is bulky and fills containers by volume, so the term you pick decides who books the box, who loads it and who pays when a sofa arrives wet or crushed.
This guide is written by ellda mobilya, a furniture manufacturer in Kayseri, Türkiye, producing sofa sets, corner sofas, bed base sets and mattresses since 2010. We quote export orders on the delivery term the buyer asks for, so the questions below are the ones that come up when an importer compares quotes on different terms.
What Incoterms decide, and what they do not
Incoterms are rules published by the International Chamber of Commerce (ICC). Each three-letter term sets three things: where the seller delivers the goods, who pays which costs on the way, and the point where risk of loss or damage passes to the buyer. The version in force is Incoterms 2020. As of October 2026 the ICC has started work on the next revision, but no new text has been published, so contracts should still name "Incoterms 2020".
Incoterms do not decide the price, the payment terms, when ownership passes or which customs duties apply. Those belong in the sales contract and the quote. A term is also incomplete without a named place: "FOB" alone means nothing, "FOB Mersin, Incoterms 2020" (an example port) does.
Why furniture changes the choice
Three things make furniture different from the textbook examples.
- Volume, not weight. Upholstered furniture fills a container long before the payload limit, so you buy whole containers, not tonnes. Whoever books the container controls its size and the loading date.
- Loading happens at the factory. Sofas and bed bases are usually loaded into the container at the factory gate, not at the port. The goods are handed over long before they are "on board" a ship.
- Damage is mostly water and handling. Torn packaging, crushed corners and moisture are the typical claims. Who carries the risk at each stage, and what insurance covers it, matters more than for a steel product.
Kayseri, like many furniture centres in Türkiye, is inland, so every term except EXW and FCA at the factory includes a truck leg from the factory to a seaport.
The five terms furniture buyers actually use
FCA (Free Carrier)
The seller clears the goods for export and hands them to the buyer's carrier at the named place. If that place is the seller's premises, the seller also loads the container. Risk passes when the loaded container is handed to the carrier. Under Incoterms 2020 the parties can agree that the buyer's carrier issues an on-board bill of lading to the seller, which helps when payment is by letter of credit. FCA at the factory is the term that matches how furniture is actually loaded.
FOB (Free On Board)
The seller delivers the goods on board the vessel at the named port, so it pays the truck to the port and the port handling. Risk passes when the goods are on board. FOB is for sea transport only, and the ICC's guidance notes it is not the right term when goods are handed over at a container terminal before loading, which is the normal case for a factory-loaded container. Many buyers still ask for FOB out of habit; if you do, agree in writing what happens if the container is damaged between the gate and the ship.
CIF (Cost, Insurance and Freight)
The seller books and pays sea freight to the named destination port and buys insurance for the buyer. Risk still passes at the port of shipment, when the goods are on board. CIF only requires minimum cover (Institute Cargo Clauses C), which is limited for furniture: it is aimed at major casualties, not the handling and water damage that upholstered goods typically suffer.
CIP (Carriage and Insurance Paid To)
Like CIF, but usable for any transport mode, including a container handed over at the factory. Under Incoterms 2020 CIP requires a higher level of cover (Institute Cargo Clauses A, close to all risks). For upholstered furniture that is the more useful default if you want the seller to arrange insurance.
DAP (Delivered at Place)
The seller arranges and pays transport to a named place in the buyer's country, usually the buyer's warehouse, and carries the risk until the goods arrive, ready for unloading. The buyer clears import customs and pays duties and taxes. DAP suits buyers who want one delivered price and have a broker for the import side.
EXW (Ex Works) and DDP (Delivered Duty Paid) sit at the extremes. Under EXW the buyer is responsible even for export clearance in Türkiye, which a foreign buyer usually cannot handle; FCA at the factory is the practical replacement. Under DDP the seller must clear import customs and pay duties in your country, which is rarely workable for a factory abroad.
Who does what: a comparison table
| Step | FCA factory | FOB port | CIF / CIP | DAP warehouse |
|---|---|---|---|---|
| Loading at the factory | Seller | Seller | Seller | Seller |
| Export clearance in Türkiye | Seller | Seller | Seller | Seller |
| Truck to the port | Buyer | Seller | Seller | Seller |
| Booking the container and sea freight | Buyer | Buyer | Seller | Seller |
| Cargo insurance | Buyer (own choice) | Buyer | Seller (C or A cover) | Seller's risk until arrival |
| Risk passes to buyer | At handover to carrier | On board at port | On board (CIF) / handover to first carrier (CIP) | At the named place |
| Import clearance, duties, taxes | Buyer | Buyer | Buyer | Buyer |
| Unloading at your warehouse | Buyer | Buyer | Buyer | Buyer |
Under CIF and CIP the seller pays freight to the destination but the risk has already passed to you at origin. If something goes wrong at sea, you claim on the insurance, not against the seller.
How the term affects your duty bill
The delivery term also changes the value your customs authority taxes, because markets count freight differently.
- European Union: the customs value includes transport and insurance costs up to the place where the goods enter the EU (Union Customs Code, Article 71). On an FCA or FOB purchase your broker adds the sea freight; on CIF it is already in the price.
- United States: transaction value excludes international freight and insurance when they are identified separately (19 U.S.C. 1401a). If you buy CIF or DAP, ask for freight and insurance to be shown as separate lines on the invoice so your broker can deduct them.
Other markets have their own rules. The method, not the rate, is what to settle early: tell your customs broker the term before you order and check the current position with them.
Which term should you choose?
- You have a forwarder with good rates to your port: FCA at the factory. You control the container, the schedule and the insurance, and the seller handles loading and Turkish export formalities.
- You are new to importing from Türkiye: CIP or CIF to your port gives you one price to your port while you learn the route. Ask for Institute Cargo Clauses A cover in either case.
- You want a delivered price to compare with local suppliers: DAP to your warehouse, with import clearance on your side.
- Your bank requires an on-board bill of lading: FOB, or FCA with the on-board bill of lading option agreed in the contract.
Whatever you choose, write the term, the named place and "Incoterms 2020" in the purchase order, and make sure the loading plan, packing list and invoice all match it. Our guide to mixed containers covers how the loading plan is built, and the pricing guide explains how the delivery term shows up in a factory price.
Checklist before you accept a quote
- The term, the named place and the Incoterms version are written out.
- You know who books the container, which size, and from which port.
- The point where risk passes is clear, and someone has insurance from that point.
- Insurance cover is stated (Institute Cargo Clauses A or C) and covers the inland leg if the goods are handed over at the factory.
- Freight and insurance are shown as separate invoice lines if your market's customs value excludes them.
- Export clearance in Türkiye is the seller's job, and import clearance is assigned to your broker.
- The payment terms fit the documents you will receive under that term.
How ellda mobilya handles delivery terms
The delivery term is stated in the quote according to your request, together with price, lead time and shipping conditions. Export orders are packed for long-distance transport, and the loading plan is shared with the quote, so you can see how the pieces fit before you confirm. Sofa sets, corner sofas, bed base sets and mattresses from our catalogue can be combined in one shipment, and our sales team works in English, Arabic and Turkish.
For the wider import process, from shortlist to customs, see our guide to importing furniture from Turkey.
Next step
Send the models and quantities you are considering, your destination and the delivery term you prefer, with the named place, through our export page. If you are not sure which term fits, tell us who your forwarder is and we will quote on the options you want to compare. You can also build a list of models in the quote list.