What does FOBST mean in TRANSPORTATION
"Free On Board Stowed and Trimmed" (FOBST) is an international commercial term used to differentiate between who is responsible for the goods being transported. It is also part of the Incoterms set, which is a standard set of phrases used in international trade contracts.
FOBST meaning in Transportation in Governmental
FOBST mostly used in an acronym Transportation in Category Governmental that means Free On Board Stowed and Trimmed
Shorthand: FOBST,
Full Form: Free On Board Stowed and Trimmed
For more information of "Free On Board Stowed and Trimmed", see the section below.
Essential Questions and Answers on Free On Board Stowed and Trimmed in "GOVERNMENTAL»TRANSPORTATION"
What Is FOBST?
FOBST stands for Free On Board Stowed and Trimmed. It is an international commercial term used in international trade contracts to determine which party is responsible for the goods being transported.
What does Free On Board mean?
Free On Board (FOB) is a trade term meaning that the seller delivers when the goods pass over the ship's rail at the port of shipment. This means that once the goods are on board and delivered, responsibility for them then transfers from the seller to the buyer or their transportation provider.
How does FOBST differ from other trade terms like CFR or CIF?
With CFR and CIF, responsibility for the goods passes from seller to buyer once they are loaded onto the vessel at port of shipment, whereas with FOBST, responsibility passes once they have been stowed and trimmed by crew members who have been employed by either party in order to ensure compliance with safety regulations etc.
When would one typically use FOBST in an international trade contract?
If a buyer wants to take on responsibility for shipping costs but not risk potential delays due to loading and trimming issues, then it may be more beneficial to use FOBST rather than CFR or CIF in order to ensure that delivery times remain consistent and on schedule.
What other considerations should be made when using FOBST as a trade term?
As with any other Incoterm, all parties involved should also consider customs regulations, insurance coverage requirements and any applicable taxes as well as local laws governing shipping operations in order to ensure compliance with all relevant legislation prior to signing off on any agreement involving FOBST terms.
Final Words:
The use of Free On Board Stowed and Trimmed (FOBST) can help buyers navigate difficult situations such as delays due to loading or trimming issues while still maintaining responsibility for all shipping costs involved in transporting their goods internationally. All parties involved should take into consideration customs regulations, insurance policies, applicable taxes and local laws governing shipping operations before signing off on any agreements that involve this particular Incoterm.