What is FOB?

Free On Board. Typically a term we only see with our purchase contracts. However, sometimes the purchase and sale contract both reflect FOB terms. If sale terms with a roaster are FOB, Trabocca facilitates the contracting, payment, and movement of coffee from farm, through processing, and onto a vessel in conjunction with a local export partner. Ocean freight is booked on the roaster’s/buyer’s account. Risk and ownership transfer to the roaster once the coffee is loaded to a vessel and Trabocca has provided sufficient documents (bill of lading, packing list, invoice, etc) for the roaster/buyer to import the container at the destination country. Roaster pays for ocean freight and facilitates and owns all pieces of the destination import process; ocean freight payment, customs clearance, trucking from port, and storage and inventory management at the facility of their choice.