GlossaryEN1 min readUpdated: Jun 16, 2026
Port of arrival
A port of arrival is the seaport where cargo is discharged at the end of its ocean voyage and handed over to the consignee or a warehouse operator.
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Source: https://www.shippingandfreightresource.com/fcl/port-of-loading-port-of-discharge/
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Incoterms 2020 Simulator: Who bears costs & risk?
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Definition & Explanation
A port of arrival is the seaport where cargo is discharged at the end of its ocean voyage and handed over to the consignee or a warehouse operator. It is named in the bill of lading as the place of destination, establishing the contractual basis for freight agreements and the allocation of costs between parties. The Incoterm in force determines where risk and expense transfer: under CIF the seller's obligation ends at the port of arrival, while under FOB it ceases at the port of shipment. Customs entry, authority inspections, and port-specific charges such as terminal handling charges (THC) all arise at this location. The port of arrival should not be confused with the final place of delivery – if that lies inland, a separate onward transport leg is required.
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