Topic Guide

International Trade Terms

Export, Incoterms, documents, MOQ, and lead time language for B2B fabric buyers working with mills.

15 related terms

Export terms for fabric buyers are the commercial language of a mill program: Incoterms (who pays freight and when risk moves), shipping documents (invoice, packing list, B/L), MOQ, and lead time. This hub points to the terms mill buyers actually negotiate—not freight-forwarder theory alone.

Shipping terms (Incoterms)

FOB (Free On Board) is the everyday mill quote style for many fabric programs: seller gets goods on board at a named origin port; buyer typically controls ocean freight. Prefer FOB + port (e.g. Ningbo), never bare “FOB China.”

CIF (Cost, Insurance & Freight) packages goods, ocean freight, and insurance toward a named destination port. Useful for simpler to-port pricing; risk still usually transfers at loading on the main vessel.

EXW (Ex Works) is factory-gate style pricing. Powerful for cost transparency, awkward for foreign buyers without local export capability—many programs still standardize on FOB for comparison.

DDP (Delivered Duty Paid) is maximum seller scope (often samples or special cases), not a typical default mill list price.

TermTypical risk transfer (main carriage view)Main freight often arranged by
FOBOn board at origin portBuyer
CIFOn board at origin (claims via insurance path)Seller
EXWAt named premisesBuyer
DDPAt named delivery placeSeller

Compare FOB vs CIF on the same fabric basis before you optimize freight. Details live on the FOB and CIF pages.

Payment security

Letters of credit (LC) still secure first-time or high-value fabric deals through documentary payment. Ongoing mill relationships often move to T/T structures after trust is proven. LC success is almost entirely document discipline.

Essential documents

Quantities and descriptions must reconcile across invoice, packing list, and B/L—especially under LC.

Containers

FCL vs LCL decides exclusive container use versus consolidation. Fabric often cubes out before it weights out; run volume math, not weight alone.

Order planning at the mill

MOQ is the commercial minimum for a color or specification. Stock greige can be flexible; dye, bleach, and many finishes still need program-size runs. Weaverine’s working bands (digital often open; bleach/dye/finish programs with defined floors) are summarized on the MOQ page—always confirm per inquiry.

Lead time is the calendar from confirmation (and approvals) to ready-to-ship or delivered, depending on terms. Lab dips and strike-offs are part of the path, not optional extras.

Mill-direct sourcing cuts intermediary layers when volume and technical capability support a factory relationship. It still needs clear Incoterms, MOQ, and QC rules.

If you need…Read
FOB meaning / FOB shipping pointFOB
CIF meaning / FOB vs CIFCIF, FOB
MOQ meaning / what is MOQMOQ
Lead time meaning / production lead timeLead time
What is LCL / FCL vs LCLFCL/LCL
Packing list meaningPacking list
Letter of credit meaningLC

For process and QC context while sourcing, see the China fabric sourcing guide or contact.

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