Which party is responsible for hiring an international freight forwarder in an export-import transaction?

The responsibility for hiring an international freight forwarder in an export-import transaction is determined by the applicable Incoterm. Incoterms, or International Commercial Terms, define the responsibilities of buyers and sellers for the delivery of goods under sales contracts. They outline who is responsible for various tasks and costs related to transportation, insurance, and customs clearance.

For example, under certain Incoterms like CIF (Cost, Insurance, and Freight), the seller is responsible for hiring the freight forwarder and organizing transport to a specified port. In contrast, terms like EXW (Ex Works) place the responsibility on the buyer to handle these logistics. Therefore, the specific Incoterm being used in the transaction directly influences who is tasked with hiring the freight forwarder, which is why this choice is correct.

The other options are less comprehensive as they do not consider the nuances that Incoterms introduce into the transaction. For example, stating that solely the buyer or seller is responsible omits crucial details regarding varied responsibilities based on the agreed terms. It’s essential for those involved in international trade to understand Incoterms fully, as they dictate many aspects of shipping and logistics.