Carriage Paid To (CPT)
Definition: What is CPT?
CPT stands for “Carriage Paid To” and is used for any mode of transport. The seller pays for delivery of goods to the named destination. However, just like CIP, the risk transfers to the buyer once the goods are handed over to the first carrier.
Seller’s responsibilities under CPT:
- Deliver goods to the first carrier and pay for freight to the final destination
- Provide necessary documents
- Handle export customs clearance
- Package goods appropriately for export transport and international shipping requirements
Buyer’s responsibilities under CPT:
- Bear the risk after the first carrier takes possession
- Manage insurance if desired (not covered by seller)
- Take care of import clearance and local delivery if needed
- Clarify Terminal Handling Charges (THC) coverage with seller to avoid unexpected costs
When to use CPT
“Carriage Paid To” is ideal for multimodal transport where the seller can manage shipping logistics, but the buyer prefers to handle risk and insurance. It offers flexibility across transport types, from air freight to road or rail. Note that neither party is obligated to arrange insurance under CPT – this must be negotiated separately in the contract.
How time:matters supports CPT shipments
With time:matters, sellers gain peace of mind knowing shipments are in expert hands up to the final destination. Even after handoff to the first carrier, our express network, real-time tracking, and ability to intervene in-transit help prevent delays — something few providers.