Under CFR the seller is responsible for the costs of export clearance and freight to transport goods from their premise to the port of loading. The shipper is not responsible, however, for buying insurance against damage or loss en route—that responsibility belongs entirely to whoever buys a shipment at its final destination. The delivery of goods from port to the buyer's premises is also under the buyer's responsibility.
When using CFR, the risk passes from seller to the buyer once goods are uploaded to the vessel.
For a detailed breakdown of responsibilities and risk transfer across different Incoterms, refer to the Incoterms Responsibility Overview.
