Under the EXW term, the seller is responsible for making the goods available at its premises. The parties can also agree on another named place such as factory, office or warehouse. At this point, the buyer gains ownership of the goods. Then, he handles all costs and risk after the products are collected.
EXW is most favourable to the seller. He has no obligation to load the goods or to cover freight costs once the goods have left the premises. This term can cause complications for the buyer if products are for export.
