Terms of sale

Last updated 1 January 2026.

Contract formation

An offer sheet is an invitation to treat. A contract exists once both parties sign a sales contract naming the lot, quantity, quality, price, incoterm, shipment window and payment terms.

Incoterms

All contracts use Incoterms 2020, normally FOB at the Indonesian port of loading named in the contract, or CIF at the named destination port. Risk passes as the chosen incoterm provides.

Quality and samples

Goods are sold on the basis of the approved pre-shipment sample. Coffee ships at 12.5% moisture or below. When a lot is sold on description, the grade named in the contract governs.

Payment

Payment is against copy documents, or by irrevocable L/C at sight for a first shipment, unless the contract says otherwise. Title passes once cleared funds are received in full.

Claims

Quality claims must be raised within fifteen days of discharge and supported by an independent analysis from a recognised body. Weight claims must be raised within seven days of discharge.

Force majeure

Neither party is liable for delay caused by events beyond reasonable control, including crop failure, port closure, a vessel skipping the port, or government action.

Governing law

These terms are governed by Indonesian law. Disputes go to arbitration in Jakarta under BANI rules unless the contract names another forum.

This page is a draft. Trade terms carry real liability, so have a trade lawyer write the final version before you contract on them.