FOB ??

This section is for those who have basics questions about, or are new to, Port. There are no "dumb" questions here - just those wanting to learn more!

Moderators: Glenn E., Roy Hersh, Andy Velebil

Post Reply
User avatar
Derek T.
Posts: 4080
Joined: Wed Sep 14, 2005 5:02 pm
Location: Chesterfield, United Kingdom - UK
Contact:
Contact Derek T.

FOB ??

Post by Derek T. »

I have often seen wine/port being offered for sale with the designation "FOB" - what does this mean?

Derek
Top
User avatar
Roy Hersh
Site Admin
Posts: 21829
Joined: Thu Jul 28, 2005 1:27 am
Location: Porto, PT
Contact:
Contact Roy Hersh

Post by Roy Hersh »

F.O.B. is an acronym used in the US for "filthy old bottles" so you never really see this used on new cases of wine.
Ambition driven by passion, rather than money, is as strong an elixir as is Port. http://www.fortheloveofport.com
Top
User avatar
Gizzyeq
Posts: 94
Joined: Sat Feb 18, 2006 10:03 am
Location: NYC & Japan, New York, United States of America - USA

Post by Gizzyeq »

Fresh Off the Boat? hehe
Top
User avatar
Roy Hersh
Site Admin
Posts: 21829
Joined: Thu Jul 28, 2005 1:27 am
Location: Porto, PT
Contact:
Contact Roy Hersh

Post by Roy Hersh »

In all seriousness, F.O.B. = Freight On Board, which means that the customer pays for all freight charges between agreed point of shipment and the destination. It is most commonly used with freight companies when dealing with large commercial shipments, either pallet or container load volumes. Frequently these shipments go "common carrier" which means that these are either trucks for hire by independent drivers or those that are part of an established fleet.

But with a wine company, it would designate that the buyer agrees to pay from the winery/retailer's loading dock to the buyer's home or office.
Ambition driven by passion, rather than money, is as strong an elixir as is Port. http://www.fortheloveofport.com
Top
User avatar
Derek T.
Posts: 4080
Joined: Wed Sep 14, 2005 5:02 pm
Location: Chesterfield, United Kingdom - UK
Contact:
Contact Derek T.

Post by Derek T. »

Hmmm - I can't see a UK merchant using the word "Freight" unless directed at the US - is FOB a term that does not apply in the UK?

Derek

PS: My guess was Free of Bond - i.e. Duty Paid :roll:
Top
User avatar
Alex K.
Posts: 391
Joined: Wed Aug 24, 2005 5:55 am
Location: Coventry, United Kingdom - UK

Post by Alex K. »

I was going to put 'Freight on Board' as a joke! No, it is used in the UK as well. I teach purchasing, payables, inventory and order management for our software. It is American software but many of our British customers use the term as well. Sometimes they refer to 'Carriage' instead.
I'm telling you - Port is from Portugal.
Top
User avatar
Roy Hersh
Site Admin
Posts: 21829
Joined: Thu Jul 28, 2005 1:27 am
Location: Porto, PT
Contact:
Contact Roy Hersh

Post by Roy Hersh »

Glad to see you've replaced the horse and buggy over there with the carriage! :lol:
Ambition driven by passion, rather than money, is as strong an elixir as is Port. http://www.fortheloveofport.com
Top
User avatar
Andy Velebil
Posts: 16813
Joined: Tue Aug 02, 2005 4:49 pm
Location: Los Angeles, California, United States of America - USA
Contact:
Contact Andy Velebil

Post by Andy Velebil »

Roy Hersh wrote:Glad to see you've replaced the horse and buggy over there with the carriage! :lol:
Technological advancement is a great thing :wink: :lol: :lol: :lol:
Andy Velebil Good wine is a good familiar creature if it be well used. William Shakespeare http://www.fortheloveofport.com
Top
User avatar
Tom Archer
Posts: 2790
Joined: Tue Aug 09, 2005 8:09 pm
Location: Near Saffron Walden, England

Post by Tom Archer »

You're all wrong!!

FOB stands for FREE ON BOARD

It means the seller arranges for the goods to be delivered to the port of despatch and arranges for them to be loaded onto the ship or plane, but is not responsible for the cost of shipping or insurance thereafter.

Tom
Top
Post Reply

Return to “Port Basics”