PackMojo

What does FOB mean in packaging?

What does FOB mean in packaging?

FOB stands for Free On Board. It’s an incoterm where the seller is responsible for the goods until they are loaded on a shipping vessel, affecting how goods are packaged for transport.

In packaging, FOB, or Free On Board, is an incoterm that delineates the seller's responsibility for the goods until they are loaded onto a shipping vessel. This term has a direct impact on how goods are packaged for transport, as the seller must ensure the packaging is robust and secure enough to withstand the journey until the point of loading. FOB is pivotal in international trade, affecting the cost, risk, and transportation responsibilities, and necessitates careful consideration of packaging standards to prevent damage and ensure the safe arrival of goods at their destination.