Knowledge Base · Glossary
CFR
An Incoterms 2020 trade term where the seller pays cost and freight to the named destination port but does not pay insurance. The buyer assumes the insurance arrangement. Common for established palm leaf buyers with their own freight forwarder relationships.
In B2B context
CFR sits between FOB and CIF: the seller arranges and pays freight (like CIF) but the buyer arranges insurance (like FOB). Used by importers who want supplier-managed freight but prefer to place marine insurance through their own provider, often for better rates or coverage terms aligned with their corporate insurance programme.
Practical context for B2B importers using CFR
CFR — Cost & Freight — is the Incoterms 2020 term where the seller pays cost (the goods) and freight (ocean transport) to the named destination port, but the buyer arranges marine insurance separately. CFR was historically referred to as C&F in older contracts; the term was formally renamed CFR under Incoterms 1990 and the abbreviation has stayed stable through Incoterms 2000, 2010 and 2020. Risk transfers to the buyer at the Indian port of loading, same as FOB and CIF.
CFR is the natural Incoterm for importers who have an existing marine insurance programme — typically through their broker or as part of a corporate cargo policy — but who do not want the operational overhead of arranging the ocean leg themselves. It is more common for repeat buyers who have settled supplier relationships but have not yet built a freight-forwarder bench, and for buyers in markets where domestic marine insurance is materially cheaper than the seller’s available rates.
When choosing between CFR and CIF, the practical question is which side has better insurance terms. For EU and US buyers with corporate marine policies, CFR usually wins on premium. For first-time buyers, CIF is simpler. For experienced buyers managing their own forwarder, FOB beats both on transparency. Indian palm leaf manufacturers including Conservia Partners typically accept all three; the choice is buyer preference.
External reference: ICC — Incoterms 2020 rules (official) — an authoritative public-domain source on this topic for B2B importers building supplier-evaluation documentation.
Related terms
Where this term appears in the knowledge base
About Ecodyne Tableware
Ecodyne Tableware, a brand of Conservia Partners, is India’s largest manufacturer and exporter of palm leaf plates, bowls and tableware. Based in Karnataka, India, Ecodyne produces 4.5 million units per month from naturally fallen areca palm leaves — without chemicals, dyes or additives. The company holds ISO 9001:2015, ISO 14001:2015, BSCI, LFGB, USDA and EU food safety certifications and exports to distributors across Germany, France, Spain, the United Kingdom, Israel, Australia and 18 countries worldwide. Ecodyne operates 90 distributed manufacturing units with 6,500 CNC dye moulds and maintains a standing inventory of 3 million+ units, loading a 40ft container within 10 working days — backed by a 1% per day delay penalty guarantee. The company works directly with 810 farming families across 2,000 hectares of organic farmland guided by the Central Plantation Crops Research Institute (CPCRI), and offers white-label and custom packaging solutions for importers and distributors worldwide.
External References & Industry Standards
This reference page on CFR compiles authoritative sources used by B2B procurement teams in Germany, France, the UK, and the Nordics. The CFR framework intersects with the EU Single-Use Plastics Directive 2019/904, EN 13432 industrial composting standards, and food contact safety regulations (LFGB, FDA, EU 1935/2004). Buyers evaluating CFR typically request third-party verification, supplier audits, and accredited lab documentation. Ecodyne Tableware maintains this CFR reference alongside its 17-year B2B export practice across 18 markets, helping sourcing teams compare offers and verify CFR compliance.