FAS - Free Alongside Ship

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Business quick take

What is it?

FAS: Free Alongside Ship is an Incoterm used in international trade, where the seller is responsible for delivering goods alongside a named vessel at the port of shipment.
Under FAS terms, the buyer assumes responsibility for all further transportation, costs, and risks once the goods are placed alongside the ship.

Do I need it?

Consider using FAS when you want to make goods available for loading onto a vessel at the port of shipment.
FAS is often used in maritime trade and is suitable when the buyer wishes to manage transportation and risk beyond the loading point.

What should I consider?

Specify the exact location and berth at the port where the goods should be placed alongside the ship.
Understand the responsibilities for loading, costs, and risk transfer, which occur once the goods are alongside the vessel.

How do others use it?

Many businesses in maritime trade use FAS to facilitate the efficient loading of goods onto vessels.
Sellers often work with port authorities and logistics providers to ensure timely delivery and placement of goods alongside the ship.

Business bottom line

FAS simplifies international maritime transactions by making goods available for loading at the port of shipment, allowing buyers to take control of the goods once they are alongside the ship.

Deep dive

What is it?

FAS: Free Alongside Ship is an internationally recognized Incoterm that places the responsibility on the seller in international trade. Under FAS terms, the seller is responsible for delivering goods alongside a named vessel at the specified port of shipment. The term "alongside" means that the goods are placed within reach of the ship's loading equipment.

Do I need it?

FAS is a valuable Incoterm in maritime trade when the seller wants to make goods available for loading onto a vessel at the port of shipment. It is often used for bulk commodities and containerized cargo.
FAS is suitable for various modes of transport, but it is primarily applied in maritime shipping.

What should I consider?

Port and Berth: Specify the exact location and berth at the port where the goods should be placed alongside the ship. Clear instructions are crucial to ensure a smooth loading process.
Loading Responsibility: Understand that once the goods are alongside the ship, the buyer assumes responsibility for loading, costs, and risks, including any loss or damage that may occur during loading.

How do others use it?

FAS is commonly used by businesses involved in maritime trade to simplify the process of loading goods onto vessels. It allows sellers to fulfill their responsibility by delivering the goods to the port and placing them in a position accessible for loading.
Sellers often collaborate with port authorities and logistics providers to ensure that goods are delivered to the correct berth and are ready for loading when the vessel arrives.

How does Terminal49 play a role?

While Terminal49 primarily focuses on container movement data, it indirectly supports the implementation of FAS through its data-driven capabilities:

Container Tracking: Terminal49 offers real-time tracking of containers, enabling both buyers and sellers to monitor the progress of goods. This visibility ensures that you can track the shipment's journey to the port and its placement alongside the ship.
Data-Driven Decision Making: Terminal49's data insights can inform your decision-making processes. By analyzing container movement data, you can optimize your logistics and transportation strategies, ensuring that your shipments under FAS are efficient and cost-effective.
Appointment Scheduling: Coordinating appointments for container delivery to the port is crucial when adhering to FAS terms. Terminal49 provides tools for appointment scheduling, helping you manage these critical logistics tasks efficiently.
Supply Chain Visibility: Terminal49's platform offers comprehensive supply chain visibility, allowing you to track the movement of containers to the port and their placement alongside the ship. Having clear visibility aligns with the transparency goals of FAS, where responsibilities and costs are well-defined.