We normally ship products to customers under Carriage Paid Terms (CPT) final location/customer site. In practice we ask the customer if they want to arrange the shipment themselves, but we pay the freight adding the cost onto their invoice for the goods. The majority of our customers do it this way and we arrange for it and charge them with the transport costs. We have been advised by a new customer that this is wrong and that we should be selecting and arranging the transport under CPT terms. We have always worked on the assumption that as it is the buyer’s risk for loss and damage once the goods have been handed to the carrier that the buyer should be choosing the carrier. Is this correct?

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