Under FOB, the buyer of a coconut shisha charcoal container pays ocean freight, insurance, duty and destination costs; under CIF the seller covers freight and insurance to the destination port. Either way the total to your door is about $32,417 for an 18 t container — the incoterm changes who arranges each stage, not the final cost.
Under FOB, the buyer of a coconut shisha charcoal container pays ocean freight, insurance, duty and destination costs; under CIF the seller covers freight and insurance to the destination port (verified 15 July 2026).
For the same 18 t container, the supplier invoice is about $18,000 (EXW), $23,400 (FOB), $31,767 (CIF) and $32,417 (DDP), while the total to the buyer's door stays about $32,417 under all four (verified 15 July 2026; illustrative).
The incoterm decides who arranges and pays each shipping stage — not the final landed cost (verified 15 July 2026).
| Cost stage | EXW | FOB | CIF | DDP |
|---|---|---|---|---|
| Loading at seller's works | Buyer | Seller | Seller | Seller |
| Origin inland haulage | Buyer | Seller | Seller | Seller |
| Export customs clearance | Buyer | Seller | Seller | Seller |
| Ocean freight | Buyer | Buyer | Seller | Seller |
| Marine insurance | Buyer | Buyer | Seller | Seller |
| Destination port / THC | Buyer | Buyer | Buyer | Seller |
| Import duty & taxes | Buyer | Buyer | Buyer | Seller |
| Destination inland to door | Buyer | Buyer | Buyer | Seller |
Simplified summary of Incoterms® 2020 obligations for ocean shipment. “Buyer” means the buyer arranges and pays that stage.
What each incoterm costs
| Incoterm | Supplier invoices | Buyer then arranges | Total to buyer's door |
|---|---|---|---|
| EXW | $18,000 | $14,417 | $32,417 |
| FOB | $23,400 | $9,017 | $32,417 |
| CIF | $31,767 | $650 | $32,417 |
| DDP | $32,417 | $0 | $32,417 |
The total to the buyer's door is the same across incoterms — the incoterm only moves the line between “supplier invoices” and “buyer arranges” (assuming no supplier margin on covered stages).
EXW vs FOB vs CIF vs DDP
EXW (Ex Works) puts everything on the buyer from the seller's gate. FOB (Free On Board) means the seller handles origin costs and export clearance up to the ship; the buyer takes ocean freight, insurance, duty and destination. CIF (Cost, Insurance, Freight) adds ocean freight and insurance to the destination port to the seller's side; the buyer still handles duty and destination delivery. DDP (Delivered Duty Paid) puts the whole chain, including import duty, on the seller.
Because the same stages must be paid by someone, the door total is invariant — what changes is who arranges each stage and where risk transfers. Obligations here summarise Incoterms® 2020; costs are illustrative, not a quote.
Frequently asked questions
What is the difference between EXW, FOB, CIF and DDP?
They set who pays and arranges each shipping stage. EXW is buyer-does-everything; FOB adds origin handling and export to the seller; CIF adds ocean freight and insurance to the seller; DDP puts the entire chain including duty on the seller.
Is FOB or CIF cheaper for importing charcoal?
Neither is inherently cheaper — the total to your door is the same. CIF just bundles freight and insurance into the supplier's invoice; FOB lets you arrange them yourself, which can be cheaper if you have good freight rates.
Who pays import duty under CIF?
The buyer. Under CIF the seller covers freight and insurance only to the destination port; import duty, customs clearance and inland delivery remain the buyer's responsibility. Only DDP puts duty on the seller.
Compare incoterms for your shipment
Highlight an incoterm and adjust the shipment to see the split.
Last verified 15 July 2026. Figures are illustrative industry ranges, not quotes — verify before relying on them. Freight and the US–Indonesia tariff change most often.
