Flat Rates for Freight & Insurance
Flat Rates for Freight & Insurance
Traders may use the flat rates provided by Singapore Customs for freight and insurance to compute the customs value of imports:
- For transaction values quoted in Free On Board (FOB) International Commercial Terms (incoterms)^ and,
- Where the actual freight and insurance charges are not known or not available to the importer.
The flat rates for freight and insurance are:
| Place of Export | Flat Rate for Freight and Insurance (% of FOB value) |
|---|---|
| Africa, Canada and USA | 24.5% |
| Europe | 19% |
| Japan, Australia and New Zealand | 19% |
| China, Chinese Taipei, Korea, Sri Lanka, India and Pakistan | 15.5% |
| Myanmar, Thailand, Cambodia, Laos, Vietnam, Hong Kong, Philippines and Indonesia | 9.5% |
| Peninsular Malaysia | 5% |
The Free On Board (FOB) incoterms means the seller (exporter) is responsible for delivering the goods from his place of business, and loading them onto the vessel and clearing customs at the country of export.
As soon as the goods are on board the vessel, the ownership and risk of loss of the goods are transferred to the buyer (importer). The buyer must pay for all international freight, transportation and insurance charges from that point, and clear customs at the country of import.