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Ex Works (EXW) and Free on Board (FOB) are Incoterms used to describe situations where sellers deliver goods.
Ex-Works ,Here the buyer appoints a shipping and freight forwarding company to collect goods from the seller’s factory to the buyers place including insurance of goods.
FOB means Freight on Board or Free On Board. If terms of delivery of a transaction is on FOB, the cost of movement of goods on board of Airlines or on board of ship is borne by the seller.
EXW: the seller is required to make goods ready for pickup at his or her own place of business. All other transportation costs and risks are assumed by the buyer.
FOB: means that the seller pays for transportation of the goods to the port of shipment, plus loading costs. The buyer pays cost of marine freight transport, insurance, unloading, and transportation from the arrival port to the final destination.
Both FOB AND EX-WORKS is part of so called "incoterms" that is used in international trade to specify the responsibility of the buyer and seller.
FOB stands for FREE ON BOARD it means that the responsibility of the seller until the goods arrived at the port of destination while the ex-works is the responsibility of seller until the goods successfully put in the container of the respective courier.
Ex work means cargo movement door to door & FOB port to door service
In EXW we have to collect the material from suppliers door step where in FOB the supplier will deliver the goods to our shipping agent.
Ex Works (EXW) and Free on Board (FOB) are Incoterms used to describe situations where sellers deliver goods. Ex Works describes the situation where the seller is responsible for having her goods ready at her place of business. Free on Board is a situation where the seller is obligated to deliver her goods.
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