Stop using EXW for Indonesian coffee. Here’s why it rarely works in 2025, how FCA solves the exporter-of-record problem, and exactly how to structure your contracts, responsibilities, and documents for smooth shipments.
If you buy green coffee from Indonesia and still ask for EXW, you’re probably losing weeks and money you don’t need to. We’ve seen it repeatedly. EXW sounds simple. In practice, Indonesia’s exporter-of-record rules make it hard to execute unless the buyer already has a local entity. Here’s the playbook we use daily to keep shipments moving with zero drama.
Why EXW almost never works in Indonesia in 2025
Here’s the thing. Under EXW, the buyer handles export clearance. In Indonesia, the exporter of record must be an Indonesian entity with a valid NIB and customs access. A foreign buyer can’t legally file the PEB (Pemberitahuan Ekspor Barang) without a local company. You also can’t just ask a forwarder to “do the export.” Indonesian PPJKs file on behalf of a registered Indonesian exporter. They can’t make a foreign buyer the exporter of record.
What we see on the ground:
- Buyers request EXW. Their forwarder shows up, then realizes no one can file the PEB. The truck goes home. Everyone pays extra storage.
- Some forwarders try to workaround by filing export under the seller’s name. That isn’t EXW anymore. It’s FCA in practice and the contract doesn’t reflect reality.
- Since mid-2024, carriers are stricter about the Shipper details matching the PEB. Mismatches trigger SI rejections and cut-off misses.
Our take. If you don’t have an Indonesian entity, EXW is a paperwork trap. FCA is the clean, legal, faster path.
FCA vs EXW vs FOB for Indonesian coffee
- EXW. Buyer arranges pickup and handles export clearance. In Indonesia, this only works if the buyer is registered locally. Otherwise it stalls.
- FCA (preferred for coffee in containers). Seller clears export and delivers to the buyer’s nominated carrier at a named place. Risk transfers at handover to that carrier. This aligns with how coffee actually moves.
- FOB. Seller clears export and delivers on board the vessel at the port of loading. FOB is traditional but not ideal for containerized coffee because the seller often can’t control terminal operations. ICC guidance favors FCA for containers.
Quick note on CIF. If you want us to arrange main carriage and insurance to your port, yes, we can do CIF. But to stay focused, we’re not comparing freight or destination clearance here.
Who must be the exporter of record in Indonesia?
An Indonesian entity with:
- NIB via OSS (business registration)
- Customs access to file the PEB, typically via a PPJK
- Any commodity-specific permits, if required (coffee is straightforward but still needs ICO and Phytosanitary)
In our shipments, we act as exporter of record under FCA/FOB. That’s the core reason FCA works.
Under FCA Indonesia, who does what? The checklist that keeps shipments moving
Seller responsibilities under FCA Indonesia coffee:
- Export clearance and PEB filing through a PPJK
- Phytosanitary Certificate from Agricultural Quarantine
- ICO Certificate of Origin via the Trade Ministry’s system/authorized issuer
- Prepare commercial invoice, packing list, COO if required by buyer’s country, and any origin-specific docs
- Deliver the goods to the buyer’s nominated carrier at the named place
Buyer responsibilities under FCA Indonesia coffee:
- Book main carriage and nominate a forwarder/carrier with clear pickup instructions
- Provide SI and routing, container type, VGM process if loading at seller’s premises
- Advise destination requirements early (fumigation, additional declarations, wood packaging notes). Don’t wait until CY cut-off
Typical timelines we see:
- Phytosanitary inspection and certificate. 1–3 working days depending on lab or inspection slots
- ICO Certificate. Same day to 1 working day once docs match shipment
- PEB filing and clearance. Same day to 1 day if complete
Practical takeaway. Build 3–5 working days for export formalities after quality approval and before port cut-off.
What does “FCA named place” actually mean? Warehouse vs terminal
FCA Seller’s warehouse (example: “FCA Surabaya, Indonesia-Coffee Warehouse”):
- Seller loads the truck. Seller completes export clearance
- Risk transfers when the goods are loaded to the buyer’s nominated truck at the warehouse gate
- Best when your forwarder picks up at origin and handles container stuffing at a CFS or the terminal
FCA Terminal/Carrier facility (example: “FCA Tanjung Perak Container Terminal, Surabaya”):
- Seller delivers to the forwarder’s facility or terminal. Risk transfers at handover to the carrier
- Works well if we’re doing container stuffing at an approved facility before gate-in
We recommend matching the named place to where the physical handover happens. That single line in the contract saves hours of emails later.
Contract-ready FCA wording you can paste
Use this as a starting point. Adjust names and addresses.
“FCA [Named Place, City, Indonesia] Incoterms 2020. Seller shall complete export clearance including PEB filing as exporter of record, Phytosanitary Certificate, and ICO Certificate of Origin. Delivery occurs and risk transfers when the goods are handed over, loaded (if named place is Seller’s premises) to Buyer’s nominated carrier at the named place. Buyer shall book main carriage and provide timely shipping instructions, container details, and destination documentation requirements.”
Add one line specifying who pays for documentation if you need to itemize costs.
Who pays for Phytosanitary and ICO under FCA?
Under classic FCA, the seller pays costs necessary to clear export. That includes Phytosanitary and ICO. In practice, we can either bundle into the FCA price or list them as separate origin charges on your pro forma. Typical ranges we see for a standard container:
- Phytosanitary. USD 50–150 depending on inspection scope
- ICO Certificate. Small admin fee, often under USD 20
- PPJK/PEB handling. USD 50–120 depending on port and service
If you need fumigation, budget separately. Some destinations or buyers request it even when not mandatory.
When is FOB still appropriate for coffee?
FOB remains common when buyers want the seller to deliver on board and absorb terminal handling risk. It’s workable if:
- We have reliable terminal access and stuffing windows
- The forwarder accepts on-board delivery timing that’s outside of our direct control
In our experience, FCA solves more problems than FOB for containerized coffee. But if your SOPs require FOB, we do it. Just align responsibilities for THC, VGM, and cut-off times in writing.
Common mistakes that cost buyers time and money
- Using EXW without a local EOR. The truck leaves empty and you pay to try again
- Naming the wrong FCA place. If the contract says “FCA Port” but your forwarder wants warehouse pickup, you’ll have a who-loads-who dispute
- Late destination requirements. Quarantine declarations arriving 24 hours before cut-off force rollovers
We recommend aligning these points at PO stage, not after production.
Quick answers to the questions we get every week
Can I use EXW when buying coffee from Indonesia if I don’t have a local entity?
Short answer. No. Not practically. Without an Indonesian entity to be exporter of record, your forwarder can’t file the PEB in your name. Use FCA instead.
What’s the practical difference between EXW and FCA for Indonesian coffee?
Under FCA, the seller becomes exporter of record and handles export clearance. That’s the difference that matters in Indonesia.
Under FCA from Indonesia, who arranges the Phytosanitary and ICO Certificate?
The seller. We obtain Phytosanitary from Agricultural Quarantine and the ICO Certificate through the national issuing system.
How should I name the place for FCA (warehouse vs port)?
Name the actual handover point to your carrier. “FCA [our warehouse address]” if your forwarder collects. “FCA [terminal name]” if we deliver to the terminal.
When should I choose FOB instead of FCA for Indonesian coffee?
Choose FOB if your internal SOPs require on-board delivery and you accept the timing risks within the terminal. We’ll clear export and deliver on board.
Switching from EXW to FCA in 5 steps
- Confirm the named place. Warehouse or terminal. Include the full address in the PO.
- Get your forwarder ready. Share our pickup hours, loading lead times, and any stuffing preferences.
- Lock documentation flow. We prepare Phytosanitary, ICO, and PEB. You provide any destination-specific templates early.
- Align SI and PEB data. Names and addresses must match. Carriers have tightened checks since late 2024.
- Build a realistic timeline. Plan 3–5 working days for export docs after final QC and before CY cut-off.
Need help mapping this to your live booking? We’re happy to sanity check your plan and timeline. Contact us on whatsapp.
Real examples that ship smoothly under FCA
- 19.2 MT of Sumatra Mandheling Green Coffee Beans, FCA Surabaya warehouse. Buyer’s forwarder collected. Export cleared in 2 days. No rollovers
- 18–19 MT of Arabica Bali Kintamani Grade 1 Green Coffee Beans, FCA Terminal. We delivered to carrier’s CFS, completed Phytosanitary and ICO in parallel
- Mixed-lot container combining Blue Batak Green Coffee Beans and Gayo Long Berry Green Coffee Beans, FCA warehouse with buyer’s stuffing at terminal. Clean handover and matching SI/PEB data
We’ve found that getting the Incoterm right is half the battle. The other half is boring but essential. Data discipline between SI and PEB. Early quarantine booking. And naming the place precisely. Do those three and your Indonesian coffee moves like clockwork.