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Understanding EXW and FCA When You Buy Wholesale Pallets

If you buy wholesale goods across borders, you will often see terms such as EXW or FCA in an offer. They are called Incoterms, and they decide who pays for what and who carries the risk at each stage of the journey. Understanding them helps you compare offers fairly.

What is EXW (Ex Works)?

With EXW, the seller makes the goods available at their own premises, such as a warehouse. From that moment the buyer is responsible for loading, transport, export clearance, insurance and import formalities. It is the simplest option for the seller and gives the buyer the most control, but also the most work.

Some of our listings, for example, state that the stock is located in Asti, Italy, on EXW terms.

What is FCA (Free Carrier)?

With FCA, the seller delivers the goods to a carrier chosen by the buyer, at an agreed place, and usually handles the export clearance. Once the goods are handed to the carrier, the responsibility moves to the buyer. FCA is often easier for international buyers because export formalities are handled by the seller.

Freight arranged by the seller

Many buyers prefer not to organise transport themselves. In that case you can ask for a freight quote for truck (LTL or FTL) or ocean container delivery to your destination. Remember that freight is a separate cost from the goods.

Costs that are easy to forget

  • Loading and handling at the warehouse
  • Transport to the port or to your door
  • Insurance for the goods in transit
  • Import duties, taxes and customs clearance in your country

Unless an offer says otherwise, these costs are not part of the price per piece, so ask for them in writing.

Which one should you choose?

If you already have a carrier you trust, or you pick up goods in the same region, EXW or collection from the warehouse can keep your costs low. If you ship to another country and want fewer export formalities to manage, FCA or a freight quote from the seller may feel safer. Whatever you choose, compare the total landed cost, not just the price per piece, because a cheap unit price can disappear behind high transport costs.

Tips before you agree

  1. Confirm in writing which term applies to your order and where the goods will be handed over.
  2. Check which documents you will receive, especially if you export.
  3. Ask your carrier or customs agent about your own country’s import rules.
  4. Inspect the delivery on arrival and note any damage on the receipt.

Our Shipping Policy explains the options we offer, and our sales team will gladly answer questions on the contact page.