Latin America: Payment and Logistics Realities

Demurrage and detention charges catch many exporters off guard. Buyers get 7-14 free days before returning empty containers. Exceeding this triggers charges. Always confirm with the buyer when they plan to pick up the container.

FBA logistics balances speed and cost. Non-urgent: sea (25-30 days). Urgent: air (3-5 days). Middle ground: sea express (12-15 days). Customs clearance is where most problems happen — work with an experienced broker.

FOB and CIF are the most commonly confused Incoterms. Under FOB, risk transfers to the buyer once goods pass the ship's rail. Under CIF, you handle freight and insurance to destination. CIF seems better but you also bear freight fluctuation risk.