What does Carriage Paid To (CPT) mean?

CPT is an Incoterm where the seller arranges and pays for transport to a named destination - typically an inland warehouse or freight terminal. But risk transfers to you the moment the coffee is handed to the first carrier, even though the seller keeps paying for the journey.

So if something goes wrong mid-transit - a container gets damaged at sea, say - that's your problem from the point of handover, even though the seller paid for that leg. For this reason, buyers under CPT terms usually arrange their own cargo insurance to cover any gap.

You're more likely to encounter CPT in European road freight than in intercontinental sea shipments. It gives you simplicity on logistics costs without leaving you uninsured - as long as you've sorted your own cover.